MN HF4782

Prohibits child care center employees from being required to have children eligible for or receiving child care assistance as a condition of employment when the employer knows the purpose is to obtain program funds.

Bans applicants, participants, and providers from receiving or providing kickbacks or payments in exchange for obtaining child care assistance benefits for personal financial gain, with exceptions for legitimate marketing, discounts, and scholarships.

Creates new criminal statute (609.542) making it illegal to offer, pay, solicit, or receive remuneration (including kickbacks) related to federal health care programs, state behavioral health programs, or family programs under chapters 119A and 119B.

Establishes that attempting to buy or sell access to a family's child care subsidy benefits constitutes a kickback, intentional program violation, and wrongfully obtaining assistance subject to administrative disqualification and criminal prosecution.

Criminal violations under the new statute are sentenceable under existing theft provisions, with sentencing based on the value of goods/services obtained or the amount of prohibited payments; applies to crimes committed on or after August 1, 2024.