SF 3565 Bill Summary

• Increases reimbursement rates by 5 percent effective July 1, 2016, for intermediate care facilities for persons with developmental disabilities (ICF/DD), consisting of a 3 percent workforce compensation component, 1 percent quality component, and 1 percent person-centered component.

• Requires facilities to use 90 percent of workforce compensation revenue increases for direct employee compensation costs, excluding central office and management contract employees, with detailed distribution plans posted for employee access.

• Extends the 5 percent rate increase to home and community-based services providers for 26 specified service types including waivered services, personal care services, day training and habilitation services, and various grant programs for elderly, deaf, and disabled populations.

• Mandates quality improvement and person-centered community integration projects by June 30, 2017, for facilities and providers to receive the quality and person-centered components of rate increases.

• Repeals previous ICF/DD rate adjustment subdivisions (4, 5, 6, 7, 8, 9, 10, 11, and 14) from Minnesota Statutes section 256B.5012 and establishes new rate adjustment framework effective upon final enactment.