MN SF4449

Prohibits nonprofit health care entities from entering conversion transactions if officers, directors, executives, or their family members have financial interests in or receive compensation from entities receiving the transferred assets or their business partners.

Requires nonprofit health care entities to notify the attorney general before conversion transactions, including itemization of public benefit assets, independent third-party valuations, and distribution plans to a conversion benefit entity.

Conversion benefit entities must have conflict-of-interest policies, operate to benefit the health of Minnesota residents, and prohibit nonprofit health care entity officers/directors from serving on the conversion benefit entity board for five years following the transaction.

Imposes civil penalties up to $100,000 per violation against individuals and up to $1,000,000 against corporations participating in violations, with district court authority to order injunctions, restitution, and unwinding of transactions.

Extends the moratorium on nonprofit health plan conversions from July 1, 2023 to July 1, 2033, limiting conversions to transfers to other 501(c)(3) corporations or Minnesota nonprofit hospitals in the same integrated health system.