HF2607 Summary

• Modifies exceptions for nursing facility bed replacements and relocations in Minnesota, including specific projects in Nicollet County, St. Louis County, Austin, Cass County, Steele County, and Goodhue County.

• Changes rate adjustment calculations for nursing facility consolidations and relocations from "property payment rate" to "external fixed costs" payment rate, effective for rate years beginning January 1, 2017 or upon project completion, whichever is later.

• Updates the Goodhue County consolidation project to consolidate two facilities (84-bed and 65-bed) into a new 64-bed facility in Red Wing with 85 beds delicensed, and adjusts the cost-sharing percentage from 48.5 percent to 57.2 percent.

• Defines "external fixed costs" in nursing facility reimbursement to include consolidation rate adjustments under specified subdivisions of section 144A.071 for facilities undergoing approved consolidations or relocations.

• Establishes that nursing facility closures under consolidation provisions are ineligible for hardship area designation in their county for five years following approval.