MN HF3987

Nursing facilities must submit audited financial statements or working trial balances to the state agency by February 1 each year, along with ownership statements and financial documents for related entities.

Facilities must disclose if any licensee, general partner, director, or officer holds 5 percent or more ownership in a related party providing services to the facility, including all services provided and related party profit and loss statements.

When goods, fees, and services worth $10,000 or more per year are delivered by a related party, disclosure must include Payroll-Based Journal public use data.

Audited financial statements must include balance sheet, income statement, statement of retained earnings, cash flows, and public accountant's report, conducted in accordance with chapter 326A.

Reimbursement rates may be reduced to 80 percent if financial reporting requirements are not met, with the reduction continuing until compliance is achieved; the bill becomes effective November 1, 2020.