Senate Counsel, Research
and Fiscal Analysis
Minnesota Senate Bldg.
95 University Avenue W. Suite 3300
St. Paul, MN 55155
(651) 296-4791
Tom Bottern
State of Minnesota
S.F. No. 3332 - Department of Human Services and Minnesota Department of Health Budget Bill
Author: Senator Tony Lourey
Prepared By: Joan White, Senate Counsel (651/296-3814)
Katie Cavanor, Senate Counsel (651/296-3801)
Liam Monahan, Senate Analyst (651/296-1791)
Date: March 31, 2016


 Article 1 - Health Care

Section 1 (16A.724, subd.2) increases the amount transferred each biennium from the health care access fund to the general fund.

Section 2 (256.01, subd.41) requires the Commissioner of Human Services to seek all necessary federal waiver authority to design and operate a seamless and sustainable health care coverage continuum that reduces barriers to care and eases transition across insurance affordability programs for consumers.

Section 3 (256B.04, subd. 14) authorizes the commissioner to utilize volume purchasing through competitive bids for allergen reducing products.

Section 4 (256B.059, subdivision 1 – Definitions) strikes the definition of “spousal share” and thereby removes the requirement that a community spouse be allowed to retain only half of the marital assets up to a limit.  Under the new language, a community spouse will be able to retain 100 percent of marital assets up to a limit. This section is effective June 1, 2016.

Section 5 (256B.059, subdivision 2 – Assessment of marital assets) modifies when a couple’s assets are assessed and the moment in time that is used in that assessment by eliminating the references to the first day of a continuous period of institutionalization.  Under the new language, marital assets are assessed upon application for MA long-term services. This section is effective June 1, 2016.

Section 6 (256B.059, subdivision 3 – Community spouse asset allowance) increases the value of the assets a community spouse may retain up to $119,220. This asset limit is subject to annual inflation adjustments. This section is effective June 1, 2016.

Section 7 (256B.059, subdivision 5 – Asset availability) eliminates unnecessary language.  Under the new language, the assets available to a spouse receiving long-term care to pay for those services are all available assets after deducting the community spouse’s asset allowance. This section is effective June 1, 2016.

Section 8 (256B.059, subdivision 7 – Temporary application) expands the definition of “institutionalized spouse” to include (1) effective June 1, 2016, a spouse applying after June 1, 2016, for disability waiver services (2) effective March 1, 2017, a spouse enrolled prior to June 1, 2016, to receive waiver services and (3) effective June 1, 2016, a spouse applying for community first services and supports.

Section 9 (256B.0625, subd.31) specifies that allergen reducing products are to be considered durable medical equipment.

Section 10 (256B.0625, subd 58) increases the payment rate for EPSDT screenings by five percent when provided by a physician , advanced practice registered nurse, or physician assistant.

Section 11(256B.0625, subd. 65) requires medical assistance to cover enhanced asthma care services and related products for children with poorly controlled asthma that are provided in the children’s homes.

Section 12 (256B.76, subd.8) increases the payment rate for preventive medical visits by five percent when provided by a physician, advanced practice registered nurse or physician assistant.

Section 13 (256B.761) increases payment rates for outpatient mental health services by five percent.

Section 14 (256B.7625) increases the payment rates for prenatal and postpartum follow up home visits provided by public health nurses using evidence-based models to $140 per visit.

Sections 15 to 24 make changes to the MinnesotaCare program to comply with federal regulations.

Section 15 (256L.01, subd.1a) modifies the definition of child to an individual under the age of 21.

Section 16 (256L.01, subd.5) modifies the definition of “income” to mean a household’s current income, or if income fluctuates month to month, the income for the 12-month eligibility period.

Section 17 (256L.04, subd.1a) requires individual and families applying to MinnesotaCare to provide a Social Security number if required under the federal regulations.

Section 18 (256L.04, subd.2) makes it permissive for an individual or family to cooperate with the state to identify potentially liable third-party payers and assist the state in obtaining third-party payments or in establishing paternity and obtaining medical care support and payments for the child.

Section 19 (256L.04, subd.7b) requires the commissioner to adjust the income limits annually each July 1 instead of January 1.

Section 20 (256L.04, subd.10) limits eligibility to MinnesotaCare to citizens or nationals of the U.S. and lawfully present noncitizens as defined in CFR title 45, section152.2.

Section 21 (256L.05, subd.3a) modifies the redetermination time period for MinnesotaCare so that the 12 month period begins the month of application and authorizes the commissioner to adjust the eligibility period for enrollees to implement renewals throughout the year.

Section 22 (256L.06, subd.3) requires the commissioner to forgive the past due premium for individuals who are disenrolled for nonpayment of premiums before issuing a premium invoice for the fourth month following disenrollment.

Section 23 (256L.07 subd.1) modifies the period in which disenrollment begins for individuals whose income increases above the income eligibility limit to the last day of the calendar month in which the commissioner sends advance notice in accordance with federal regulations.

Section 24 (256L.15, subd.1) requires the commissioner to accept an individual’s attestation of the individual’s status as an American Indian as verification until the federal government approves an electronic data source that purpose.

Section 25 Paragraph (a) repeals obsolete language concerning the implementation of the rules governing the treatment of marital assets when a spouse is institutionalized. Paragraph (b) repeals sections 256L.04, subd.2a (application for other benefits); 256L.04, subd.8 (applicants potentially eligible for medical assistance); 256L.22, 256L.24; 256L.26; 256L.28 (Children’s Health program) effective the day following final enactment.

 Article 2 – Children and Families

(Most of the sections in this article are to comply with federal requirements or align with federal goals related to the Child Care and Development Fund, the Preventing Sex Trafficking and Strengthening Families Act, and the Fostering Connections to Success and Increasing Adoptions Act)

Sections 1 to 33 amend the child care programs chapter of law.

Section 1 (119B.011, subd. 6) modifies the definition of “child care fund” to include support for the development and school readiness of children.

Section 2 (119B.011, subd. 13b) defines the term “homeless” in the child care chapter of law.

Sections 3 and 4 (119B.011, subds. 16a and 16b) define the terms “legal nonlicensed related provider,” and “legal nonlicensed unrelated provider,” respectively, to differentiate between providers who are relatives and nonrelatives.

Section 5 (119B.011, subd. 19) amends the term “provider” to include those certified under the new certification process for license exempt child care centers under section 119B.127 and legal nonlicensed providers.

Sections 6 and 7 (119B.011, subds. 20, and 20a) amend eligibility for transition year families to allow families who received MFIP or DWP for at least one month (current law is three months) in the last six months to receive assistance, and permits child care to be used for education or training.

Section 8 (119B.02, subd. 1) allows the commissioner to establish application processing timelines for applicants who are homeless.

Section 9 (119B.02, subd. 5) adds a reference to chapter 245E, which is the child care assistance fraud chapter of law.

Section 10 (119B.02, subd. 8) allows the commissioner to enter into contractual agreements with child care providers to waive policies in this chapter, subject to federal regulations and requirements.

Section 11 (119B.025, subd. 1) strikes language related to the redetermination of child care, which is moved to a new subdivision in the next section, and adds application procedures for homeless families.

Section 12 (119B.025, subd. 3) modifies redetermination requirements used to determine ongoing eligibility for child care assistance.  At redetermination, if a family’s income is greater than 67 percent and less than 85 percent of the state median income, the family remains eligible for child care assistance for 12 additional months. A family with an income greater than 85 percent at redetermination is no longer eligible for child care assistance.  Redetermination is every 12 months, instead of every six months.

Section 13 (119B.025, subd. 4) add a new subdivision listing the factors that must be verified for purposes of CCAP eligibility.

Section 14 (119B.025, subd. 5) requires the commissioner to develop a form to redetermine eligibility and report changes in eligibility to minimize paperwork for the county and participant.

Section 15 (119B.03, subd. 3) strikes a reference to a statute that is being repealed.

Section 16 (119B.03, subd. 9) requires the portability pool basic sliding fee assistance continue until the family is able to receive assistance under the county’s basic sliding fee program.  Current law allows six months.

Section 17 (119B.09, subd. 1) requires the family to self-certify at application and redetermination that the family’s assets are less than or equal to $1,000,000.

Section 18 (119B.09, subd. 4) strikes language related to verifying income, which is inconsistent with the new language in section 119B.025, subdivision 4.

Section 19 (119B.09, subd. 6) amends the maximum amount of child care assistance payments when a family has more than one provider.

Section 20 (119B.09, subd. 7) caps retroactive child care assistance payments at three months, instead of six months.

Section 21 (119B.09, subd. 9a) prohibits child care center owners or employees from receiving child care assistance for their children who attend the child care center where they are employed.  Strikes obsolete language.

Section 22 (119B.10) amends the section of law relating to activity requirements under CCAP by specifying what the county must consider when authorizing care, and by adding new subdivisions related to assistance for persons attending an approved education or training plan, assistance for homeless families, extended eligibility, and authorizing a second provider.

Section 23 (119B.11, subd. 2a) modifies recovery of child care assistance overpayments by clarifying when overpayments must be recovered.

Section 24 (119B.12, subd. 2) requires parent fees to be established for a 12-month period.

Section 25 (119B.125, subd. 1b) specifies different training requirements for legal nonlicensed related and unrelated providers.

Section 26 (119B.125, subd. 10) requires legal nonlicensed providers to report to the county a death, serious injury, or substantiated child maltreatment that occurred while a child was in the provider’s care.

Section 27 (119B.125, subd. 11) requires a legal nonlicensed provider to have a written emergency preparedness plan.

Section 28 (119B.125, subd. 12) requires the county agency to inspect at least once annually each legal nonlicensed unrelated provider, and the results of the inspection are available to the public. The commissioner shall establish health, safety, and fire standards, and must develop a process to correct violations of the standards, and revoke payment when a provider fails to correct the violation of the standards.

Section 29 (119B.127) establishes the certification process for license-exempt child care centers, including application procedures, monitoring and inspections, staffing, background studies, fees, and health and safety requirements.

Section 30 (119B.13, subd. 1) increases child care provider rates, beginning March 13, 2017, to  the 50th percentile of the most recent biennial child care provider rate survey.   Current law is the 25th percentile of the 2011 child care provider rate survey.  Specifies the maximum rate for licensed providers or license exempt child care centers.

Section 31 (119B.13, subd. 1a) specifies the maximum rates for legal nonlicensed family child care providers.

Section 32 (119B.13, subd. 4) prohibits a provider from charging a family the difference between the provider’s rate and the CCAP payment.

Section 33 (119B.13, subd. 6) requires CCAP payments to be made within 21 days of receiving a complete bill.  Existing law allows 30 days.

Sections 34 to 49 amend the Department of Human Services Licensing Act.

Section 34 (245A.04, subd. 4) requires an inspection before issuing an initial license and annually, thereafter, for health, safety, and fire standards for child care license holders.  Results of inspections will be on the department’s Web site. 

Section 35 (245A.09, subd. 7) requires the commissioner to conduct at least one unannounced licensing inspection annually of licensed child care centers.

Section 36 (245A.10, subd. 2) clarifies the county’s ability to charge a fee for certain background studies prior to the implementation of NETStudy.

Section 37 (245A.14, subd. 15) requires that enrolled child’s parents must be allowed to visit a child care program during hours of operation.

Section 38 (245A.1492) requires the commissioner to develop and implement a statewide child care disaster plan that addresses emergency preparedness, response, and recovery efforts.  Specifies what the plan must include.

Section 39 (245A.151) clarifies that the fire code inspector must be trained by the state fire marshal.

Section 40 (245A.16, subd. 1) requires the county to conduct at least one unannounced licensing inspection annually of family child care programs.

Section 41 (245A.16, subd. 8) requires that only county staff trained by the commissioner on family child care licensing standards conduct the licensing inspections.

Section 42 (245A.40, subd. 1) adds training on fire standards to the list of orientation training requirements for child care center staff.

Sections 43 and 44 (245A.40, subds. 3 and 4) require first aid training and CPR training, respectively, for child care center staff every two years, instead of every three years.

Section 45 (245A.40, subd. 7) requires a license holder to ensure that the center director and all staff who have contact with a child complete annual in-service training.

Section 46 (245A.41) is a new section of law establishing child care center health and safety requirements.  The requirements include: maintaining immunization records, allergy prevention and response plan, and an emergency preparedness plan.

Section 47 (245A.50, subd. 9) expands the mandatory training for family child care license holders and caregivers to include additional safety and prevention training, and requires the commissioner to develop the curriculum by January 1, 2017.

Section 48 (245A.51) is a new section of law establishing family child care health and safety requirements, including maintaining immunization records, allergy prevention and response plan, handling and disposal of bio contaminants, and an emergency preparedness plan.

Section 49 (245A.66, subd. 2) requires the child care center risk reduction plan to include specific procedures and policies for safely handling and disposing of bodily fluids.

Sections 50-59 amend the human services background study chapter of law.

Sections 50 and 51 (245C.03, subd. 6a, 245C.04, subd. 1) require the commissioner to conduct background studies on legal, nonlicensed family child care providers and family child care license holders, beginning October 1, 2017.

Section 52 (245C.05, subd. 2b) requires the county agencies to provide to the commissioner background study information from family child care and legal nonlicensed child care providers authorized under section 119B, effective October 1, 2017.

Section 53 (245C.05, subd. 4) requires the commissioner to electronically transmit background study results for family child care and legal nonlicensed child care authorized under section 119B, effective October 1, 2017.

Sections 54 (245C.05, subd. 7) exempts from this subdivision family child care programs for individuals whose background study was completed in NETStudy 2.0.

Section 55 (245C.08, subd. 2) clarifies county agency background study responsibilities prior to the implementation of NETStudy 2.0.

Section 56 (245C.08, subd. 4) clarifies that the commissioner shall review records from juvenile courts for a background study for family child care providers conducted by the county prior to the implementation of NETStudy 2.0.

Section 57 (245C.11, subd. 3) clarifies county agency access to criminal history data for purposes of background studies prior to the implementation of NETStudy 2.0.

Section 58 (245C.17, subd. 6) requires the commissioner to provide a notice of the background study results to the county for family child care and legal nonlicensed child care, effective October 1, 2017.

Section 59 (245C.23, subd. 2) requires the commissioner to notify the county that initiated the background study of the results of the reconsideration related to family child care.

Section 60 (256.98, subd. 8) modifies the disqualification period for a provider receiving child care assistance who has been disqualified for wrongfully obtaining CCAP to two years for the first offense.  Current law is one year for the first offense and two years for a second offense.

Section 61 (256D.051) modifies the food stamp employment and training provision of law for able bodied adults without dependents, by making participation in the employment and training services optional, rather than mandatory, which is a federal option for all states.  Able bodied adults without dependents (ABAWD) are allowed three months of SNAP benefits in three years, unless they are meeting federal work participation requirements.  Also reduces county administrative burden by removing sanctions and mandatory registration requirements.

Section 62 (256J.24, subd. 5) increases the cash portion of the MFIP transitional standard by $100.00, effective October 1, 2016.

Section 63 (256M.41, subd. 3) amends the child protection payment formula to counties to retain the existing formula.  This section also changes the month the commissioner makes threshold determinations and the month that payments are sent to counties.

Section 64 (256P.05, subd. 1) provides that a participant who qualifies for CCAP is subject to self-employment income determinations.

Section 65 (256P.06, subd. 3) provides that income includes all child support that the assistance unit receives, not just current support.

Sections 66 and 67 (256P.07, subds. 3 and 6) amend reporting measures to conform with federal law.

Sections 68 to 76 amend chapter 260C, juvenile safety and placement chapter of law.

Section 68 (260C.125) creates a new section of law establishing the procedure for transferring the responsibility for the placement and care of an Indian child in out-of-home placement from the social services agency to a tribal agency.

Section 69 (260C.203) strikes language that is consolidated in a new section of law, section 260C.452.

Section 70 (260C.212, subd. 1) allows a child 14 years or older to select one member of the case planning team to be designated as the child’s adviser and to advocate for reasonable and prudent parenting standards.  For a child 18 years or older, this section requires, when appropriate, that the social services agency involve the child’s parents in the child’s case planning. This section also provides more detail related to educational stability requirements for foster children, clarifies the child’s role in the development of the independent living plan, and requires that the child receives notice of rights.

Section 71 (260C.212, subd. 14) defines the term “developmentally appropriate,” and modifies the definition of “reasonable and prudent parenting.”  This section also requires the commissioner to provide guidance as to what activities a foster parent must consider when applying reasonable and prudent standards.

Section 72 (260C.215, subd. 4) requires the curriculum for foster parents to include, as necessary, knowledge and skills related to reasonable and prudent parenting standards.

Section 73 (260C.451, subd. 6) clarifies that a child may reenter foster care prior to 21 years of age.

Section 74 (260C.451, subd. 9) adds a new subdivision clarifying requirements of administrative or court reviews to ensure the social services agency is making reasonable efforts to finalize the permanency plan for the child.

Section 75 (260C.452) creates a new section of law consolidating provisions related to the successful transition to adulthood for children under the guardianship of the commissioner, which includes independent living plan, notification of right to continued access to services, administrative or court review of placements, and notification of termination of foster care.

Section 76 (260C.521, subd. 1) modifies the purpose of the court review hearing of an order for permanent custody by specifying requirements of the responsible social services agency.

Section 77 (260D.14) establishes a new section of law related to the successful transition to adulthood for children in voluntary placement, which includes case planning, notification of continued right to access services, and administrate or court reviews.

Section 78 (626.556, subd. 2) amends the definition of sexual abuse in the Maltreatment of Minors Act.  Effective May 29, 2017, the term sexual abuse includes a child who is a victim of sex trafficking.

Section 79 (626.556, subd. 3c) requires the commissioner to investigate maltreatment in certified centers and updates references to new language in chapter 119B.

Section 80 (626.556, subd. 3e) provides that the local welfare agency is responsible for investigating when a child is identified as a victim of sex trafficking, effective May 29, 2017.

Sections 81 and 82 (626.556, subds. 10b, 10f) are deleted in the author’s amendment.

Section 83 repeals obsolete provisions related to child care.

 Article 3 - Continuing Care

Section 1 (245A.02, subdivision 23 – Corporate foster care) moves existing language from 245A.03, subdivision 7, to create a definition of “corporate foster care.”

Section 2 (245A.02, subdivision 24 – Person’s own home) adds a definition of “person’s own home.”

Section 3 (245A.03, subdivision 7, paragraph a – Licensing moratorium) Paragraph a incorporates the newly defined term “corporate foster care.”

Paragraph b reorganizes existing language.

Paragraph c reorganizes existing language

Paragraph d modifies the commissioner’s authority to grant foster care licensing moratorium exceptions by clarifying existing permitted exceptions and adding additional permitted exceptions, including newly permitted exceptions for individuals transitioning out of residential care services, children who would otherwise live in more restricted settings, planned out-of-home respite, and individuals returning to foster care.

Paragraphs (e) deletes obsolete language concerning the process for reducing licensed foster care capacity.

Paragraph (g) authorized the commissioner to manage foster care capacity in the state in a manner consistent with the requirements of the new language included in this bill as Minnesota Statutes, 256B.4915.

Section 4 (245D.03, subdivision 1 – Applicability) updates a cross-reference and requires providers of individual community living support to be licensed under home and community based services standards under 245D.

Section 5 (256B.442, subdivision 30 – Median total care-related cost per diem) corrects a drafting error in the nursing facility payment rate reform that passed in 2015. The total care-related per diem is defined elsewhere in the payment rate language as the sum of the direct care costs per diem and the other care-related per diem. The median total care-related per diem was inadvertently defined as including only the direct care component of the total care-related per diem.

Section 6 (256B.4912, subdivision 11 – Annual data submission) requires home and community based service providers to submit and the commissioner of human services to analyze wage and staffing data for certain HCBS services.

Section 7 (256B.4914, subdivision 10 – Updating payment values and additional information) replaces “county” and “county and tribal” with “Lead agency”.

Section 8 (256B.4914, subdivision 11 – Payment implementation) replaces “county” with “lead agency”.

Section 9 (256B.4914, subdivision 14 – Exceptions) clarifies the circumstances under which an application for an exception to the rates set under the disability waiver rate setting system  are allowed by permitting applications when an individual’s services needs cannot be met through the weighted county average rate.

Section 10 (256B.4914, subdivision 15 – Lead agency allocations) replaces “county and tribal” and “county” with “lead agency”.

Section 11 [256B.4915 – Management of Statewide Corporate Foster Care and Community Residential Licensed Setting Capacity] requires the commissioner of human services to consult with stakeholders to develop recommendations to improve the state’s capacity to meet the needs of individuals receiving long-term care services and supports, and to report annually those recommendations together with supporting data to the legislature.  The commissioner is also required to submit a report by February 15, 2018 with recommendations on the process of improving the state’s capacity to meet the needs of individuals receiving long-term care services and supports

Section 12 (256B.493. subdivision 3 – Voluntary closure process) replaces “planned closure” with “voluntary closure” in the context of closures of adult foster care settings.

Section 13 (256B.493, subdivision 4 – Review and approval process) replaces “planned closure” with “voluntary closure” in the context of closures of adult foster care settings..

Section 14 (Provider Rate Grant Increases Effective July 1, 2016) Paragraph a requires the commissioner of human services to increase by 2.72 percent the rate for certain home and community based services that are now subject to the U.S. Department of Labor’s Home Care Rule, which requires most home care workers to be paid for overtime and travel time.

Paragraph b specifies the services to which the rate increase applies.

Paragraph c requires managed-care plans and county-based purchasing plans to pass through the increase in capitation rates to the providers of the eligible services.

Paragraph d requires lead agencies to increase each consumer-directed community supports recipient’s budget by 2.27 percent.

Paragraph e requires the commissioner to include the increase in the rates under the disability waiver rate setting system.

Paragraph f requires that providers use 90 percent of the additional revenue to increase compensation-related costs for employees other than central office employees or persons paid by the provider under a management contract.

Paragraph g defines “compensation-related costs.”

Paragraph h gives providers discretion to distribute the additional revenue across the eligible compensation-related costs.

Paragraph i requires providers to obtain from an exclusive bargaining representative a letter of acceptance of a plan for distribution of 90 percent of the rate increase to members of the bargaining unit.

Paragraph j requires providers to develop and submit to the commissioner a plan for the distribution of 90 percent of the rate increase.

Paragraph k requires providers to post notice of its distribution plan in a manner accessible to employees and provide instructions for employees to contact the commissioner if they believe they have not received the compensation increases.

Section 15 (Residential Care Voluntary Closure Rate) describes the residential care voluntary closure rate adjustment review and approval process and requires the commissioner to establish an enhanced rate for those facilities that voluntarily close a residential care services setting.

Section 16 (Repealer) deletes obsolete concerning planned closures of adult foster care settings and community residential settings.

Article 4 - Mental Health

Section 1 (245.735, subd. 3) modifies the Excellence in Mental Health Act demonstration project, which establishes certified community behavioral health clinics (CCBHC), by adding components needed to implement the demonstration project, including providers standards, certification process, and prospective payment methodology.

Section 2 (245.735, subd. 4) requires the commissioner to collaborate and partner with stakeholders listed in this section in developing and implementing the CCBHCs.

Section 3 (245.99, subd. 2) amends the adult mental illness crisis housing assistance program by changing the eligibility; under current law, persons with serious and persistent mental illness are eligible and the modification allows for persons with serious mental illness to be eligible.

Sections 4 and 5 (254B.01, subd. 4a, 254B.05, subd. 5) modify culturally specific programs to include subprograms, which is defined in section 5, for purposes of receiving enhanced chemical dependency rates.

Section 6 (256.478) modifies the transition to community initiative by consolidating eligibility requirements in this section and expanding eligibility to individuals who are in a community hospital and on a waiting list for admittance into Anoka Metro Regional Treatment Center.

Section 7 (256B.0622, subd. 12) allows the commissioner to use grant funds, within available appropriations, for assertive community treatment teams, intensive residential treatment services, or crisis residential services. 

Section 8 (256B.0915, subd. 3b) allows for additional payments for elderly waiver participants who would otherwise be eligible for transition to community initiative funds.

Sections 9 and 10 (256B.092, subd. 13, 256B.49, subd. 24) strike duplicative language and update a cross-reference to section 256.478.

Section 11 requires the commissioner to provide grant funds to adult mental health initiatives, counties, Indian tribes, or community mental health providers for the planning and development of community-based competency assessment and restorations services.  Grants will be issued through a competitive request for proposals process.

Article 5 - Operations

Section 1 (245A.10, subdivision 4, paragraph b, clause 1 – License fees for HCBS programs) modifies the licensing fees for providers of those home and community based services that require licensure under 245D. The new rate is a flat $450 per year, plus 0.5% of the revenue in excess of $100,000 derived from the provision of those home and community based services that require licensure under 245D.

Section 2 (245A.10, subdivision 8 – Deposit of license fees) moves revenue collected from DHS licensing activities from the state government special revenue fund to a special revenue fund.  The sources of the revenue include various application fees, as well as various licensing fees, including those from childcare center, chemical dependency treatment programs, residential facilities, foster care providers, adoption services providers, adult day care centers, and certain mental health centers and clinics.

Article 6 – Direct Care and Treatment

Section 1 (245.4889, subd. 1) allows the commissioner to use children’s mental health grants for sustaining extended-stay inpatient psychiatric hospital services for children and adolescents.

Section 2 (246.54) increases the county liability for the cost of care for direct care and treatment services. Under new subdivision 1b for care at a state-operated community-based behavioral health hospitals, the county must pay 100 percent when the facility determines that it is clinically appropriate to discharge the client.  Under new subdivision 1c, for care at the Minnesota Security Hospital, (MSH) and a forensic nursing home, the county must pay ten percent for each day the client spends in the MSH or forensic nursing home.  For forensic transition programs, the county must pay 50 percent for each day the client spends in the program.  For the residential competency restoration program, the county must pay 20 percent for each day the client spends in the program while the client is in need of services; 50 percent for each day the client spends in the program, but the client no longer needs restoration services; and 100 percent for each day the client spends in the program once the charges against the client have been resolved or dropped.

Section 3 (246.701) allows the commissioner to establish the Office of Special Investigations Law Enforcement Division in the Department of Human Services.  The commissioner may appoint peace officers to the new law enforcement division, and the peace officers must meet all applicable training and licensing requirements under chapter 626.  The jurisdiction is limited, and allows the peace officers to arrest individuals who reside at a state-operated facility and are committed to the commissioner.

Section 4 (246B.01, subd. 2b) expands the definition of “cost of care” for the Minnesota Sex Offender Program (MSOP), to include aftercare services and supervision.

Section 5 (246B.035) modifies the statute that requires an annual MSOP performance report.  Current law required the report by January 15 beginning in 2010. This section requires the report by February 15 beginning in 2017.

Section 6 (246B.10) amends the liability of the county to pay for the cost of care provided by the  Minnesota Sex Offender Program to include services in a facility or on provisional discharge.

Section 7 (253B.18, subd. 4b) amends the Commitment Act by modifying the pass eligible status review process due to the elimination of the special review board for commitments of sexually dangerous persons.  Objections to pass eligibility for sexually dangerous persons go to the judicial appeal panel for review.   

Sections 8, 9 to 16 (253D.27, subd. 2, 253D.28, 253D.29, subds. 2 and 3, 253D.30, subds. 3, 4, 5, and 6, 253D.31) amend the civil commitment and treatment of sex offenders chapter of law by eliminating the special review board’s role with regard to commitments of sexually dangerous persons and sexual psychopathic personalities, and transferring the role to or retaining the role of the judicial appeal panel.

Sections 17 and 18 (626.05, subd. 2, 626.84, subd. 1) amend the chapter of law related to peace officers by modifying the definition of “peace officer” to include Department of Human Services Office of Special Investigations Law Enforcement Division officers.

Section 19 repeals 2 subdivisions in the petition for a reduction of custody statute.

Article 7 - Health Department

Section 1 (13.3806, subd. 22) adds a reference in chapter 13 and the classification of data collected under the medical cannabis registry program to include registry information accessed under section 152.27, subdivision 8.

Section 2 ( 62J.495, subd. 4) adds to the Commissioner of Health’s coordination efforts regarding health information technology: (1) providing financial and technical support to Minnesota health care providers to encourage implementation of admission, discharge and transfer alerts, care summary document exchange transactions and to evaluate the impact of health information technology on cost and quality of care; (2) providing educational resources and technical assistance to health care providers and patients related to privacy, security, and consent laws governing clinical health information; and (3) assessing Minnesota’s legal, financial, and regulatory framework for health information exchange and making recommendations to strengthen the ability of health care providers to securely exchange data in compliance with patient preferences and in a way that is efficient and financially sustainable.

Section 3 (62J.496, subd. 1) permits funds in the electronic health record system revolving account to be used for activities describes in section 62J.495, subdivision 4.

Section 4 (152.27, subd. 2) permits health care practitioners who meet the definition of a health care practitioner in the medical cannabis registry program and who request access for a permissible purpose to have limited access to a patient’s registry information.

Section 5 (152.27, subd. 8) paragraph (a) authorizes a health care practitioner to access a patient’s registry information in the medical cannabis registry program to the extent the information relates to a current patient for whom the health care practitioner is (1) prescribing or considering prescribing a controlled substance; (2) providing emergency medical treatment for which data may be necessary; or (3) providing other medical treatment for which access to the data may be necessary and the patient has consented to access to the registry information and with the condition that the practitioner remains responsible  for the use or misuse of the data.

Paragraph (b) authorizes a practitioner who is authorized to access the patient registry to electronically access the data.  Requires the practitioner to implement and maintain a comprehensive information security program that contains appropriate safeguards.

Paragraph (c) states that if the practitioner is accessing the data on a patient’s consent the practitioner must warrant that the request (1) contains no information known to the practitioner to be false; (2) accurately states the patient’s desire to have health records disclosed or that there is specific authorization in law; and (3) does not exceed any limits imposed by the patient in the consent.

Paragraph (d) requires the commissioner to maintain a log of all persons who access the data for at least three years and shall ensure that any practitioner agrees to comply with the requirements of paragraph (b) before attaining access to the data.

Section 6 (152.33, subd. 7) states that any person who intentionally makes a false statement or misrepresentation to gain access to the patient registry or otherwise accesses the patient registry under false pretenses is guilty of a misdemeanor.

Section 7 requires the Commissioner of Health to contract with the University of Minnesota School of Public Health to conduct an analysis of the costs and benefits of up to three specific proposals that seek to create a health care system with increased access, greater affordability, lower costs, and improved quality of care in comparison to the current system.

Section 8 requires 15 points to be assigned by the Department of Health for the purpose of health risk limits.

Section 9 requires ten priority points to be assigned by the Department of Health for purposes of contaminated private wells.

Article 8 - Health Related Licensing Boards

Section 1 (214.075, subd.3) specifies that the fees received by the health related licensing boards for the criminal background checks are to be deposited in dedicated accounts in the special revenue fund and are appropriated to the health related licensing boards.



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