S.F. No. 1013 modifies the local government aid chapter of law, which is under the jurisdiction of the Tax Committee.  This bill requires the Commissioner of Revenue to reimburse each county for the nonfederal share of out-of-home placement costs for Indian children, provided the Commissioner of Human Services certifies to the Commissioner of Revenue that accurate data is available to make the aid determination.  

Section 1 (477A.0126) Subdivision 1. Definition. Defines “out-of-home placement” as 24-hour substitute care for an Indian child placed under either the federal Indian Child Welfare Act away from the child’s parent or guardian and for whom the county social service agency or county correctional agency has been assigned responsibility for the child’s placement and care.

Subdivision 2. Determination. Requires that by January 1, 2018, each county report the separate amounts paid out of its social service agency and corrections budgets for out-of-home placement of children under ICWA for calendar years 2014, 2015, and 2016, and the number of case days associated with the expenditures from each budget, to the Commissioners of Human Services and Corrections.  By March 15, 2018, the Commissioner of Human Services, in consultation with the Commissioner of Corrections, shall certify to the Commissioner of Revenue and the legislative committees responsible for LGA and out-of-home placement funding, whether the data reported accurately reflects the total expenditures by counties for the placement costs. By January 1, 2020, and each year thereafter, each county shall report to the Commissioners of Human Services and Corrections the separate amounts paid out of its budgets in the calendar years two years before the current calendar year. Until another mechanism for collecting and verifying data is developed, the data collected under this section must be used to calculate payments. The Commissioner of Human Services must certify the information to the Commissioner of Revenue by July 1 of the year prior to the aid payment.

Subdivision 3. Aid payments. Requires that for aids payable in 2019 and thereafter, the Commissioner of Revenue shall reimburse each county for the nonfederal share of the costs related to the placement of children under ICWA, provided that accurate data is available. The amount of the reimbursement is the county’s average nonfederal share for the most recent three calendar years. The aid payments shall be paid at the same time as local government aid.

Subdivision 4. Appropriation. Appropriates an amount sufficient to pay aid under this section annually from the general fund to the Commissioner of Revenue.

Effective beginning with aids payable in 2019.