MN HF3374

Modifies disability waiver rate system inflationary adjustments to transition from biennial updates (every two years starting January 1, 2026) with an 8% cap to annual updates (starting January 1, 2028) with a 4% cap

Requires annual Consumer Price Index (CPI-U) adjustments to base wage index, client programming support, transportation, program facility costs, and related rates beginning January 1, 2028 or upon federal approval

Prohibits rate decreases under the new annual adjustment system—if CPI-U calculations result in a decrease, the commissioner must implement no change

Adds new subdivision 5f to existing automatic rate adjustment exemptions for service agreement approvals, ensuring inflationary adjustments don't trigger manual commissioner review

All sections take effect the day following final enactment, with the current biennial adjustment provision expiring when the new annual adjustment provision becomes effective