HF3526 (Legislative Session 94 (2025-2026))
Method of deposit of fines collected related to home care licensing surveys and investigations modified, criteria for appointment to home care and assisted living program advisory council modified, special projects grant program established, and money appropriated.
Related bill: SF3733
AI Generated Summary
Purpose
This bill makes changes to how fines from home care licensing surveys and investigations are handled, strengthens penalties for maltreatment by home care providers, creates a grant program to improve home care quality and outcomes, and reorganizes the advisory council that oversees home care and assisted living issues.
Main Provisions
Fines for licensing violations
- A tiered fine system (Level 1–Level 5) based on the seriousness of violations, plus possible enforcement actions.
- Level 1: no fines or enforcement.
- Level 2: $500 per violation.
- Level 3: $1,000 per incident.
- Level 4: $3,000 per incident.
- Level 5: $5,000 per violation.
- Higher fines apply for maltreatment determined to be the licensee’s fault, including sexual assault, death, or abuse resulting in serious injury.
- Fines can be imposed immediately for surveys and investigations, and may be combined with other enforcement actions.
Correction orders and notices
- Violations are graded by level and by scope (isolated, pattern, or widespread).
- A notice of noncompliance can be emailed to the facility’s last known address.
- Each identified violation can trigger an immediate fine, with the right to appeal.
- License holders must pay fines by a specified date; failing to comply can lead to a second fine or license suspension.
- If a violation is corrected, the license holder must notify the commissioner; failure to correct on reinspection can lead to additional fines; notices are mailed.
- A timely appeal can stay the payment of fines during the process.
Special revenue account and grants for home care
- Fines collected are deposited into a dedicated special revenue account.
- Annually, money in the account is used to fund a competitive grant program to improve home care client quality of care and outcomes.
- Grants go to licensed home care providers or organizations with expertise in home care practices; providers with temporary licenses are not eligible.
- The department may keep up to 10% of each grant for administrative costs.
- The department must publish an annual report showing fines collected and how the funds were allocated.
Advisory council structure and appointments
- The Home Care and Assisted Living Advisory Council will have 14 members, including:
- Four public members (including individuals who have received home care services and a family member of someone who has received care).
- Two home care licensees (e.g., managers or nursing staff).
- One nurse from the Minnesota Board of Nursing.
- One representative from the Office of the Ombudsman for Long-Term Care.
- One representative from the Office of the Ombudsman for Mental Health and Developmental Disabilities.
- One county health and human services or county adult protection office representative.
- Two assisted living facility licensees (including those with dementia care).
- One organization representing long-term care providers and home care providers.
- One consumer advocacy representative for people receiving long-term care.
- When a vacancy occurs, the commissioner must select a qualified applicant within 60 days, with a 21-day posting period for applicants.
Special Projects Grant Program timeline
- By December 31, 2028, distribute the remaining balance in the special revenue account (as of January 1, 2027) through a competitive grant program.
- Grants must align with criteria in the advisory council’s guidelines.
- If funds remain unawarded by 12/31/2028, they must be used for annual distributions starting 1/1/2029.
Significant Changes to Existing Law
- Elevates the use of fines and makes them more immediate for home care licensing violations and maltreatment, including higher penalties for egregious cases.
- Ties fined money to a dedicated account used to fund improvements in home care quality, safety, and outcomes, plus an annual reporting requirement.
- Expands and formalizes the Home Care and Assisted Living Advisory Council with a specific, published membership structure and a defined process for filling vacancies.
- Establishes a focused grant program (Special Projects) to support projects that advance client quality of care and outcomes, funded by fines and administered through a new or existing framework.
Implementation and Oversight (Key Details)
- Fines and enforcement are governed alongside existing enforcement mechanisms in related sections, with provisions for correction orders, notices, appeals, and possible license suspension.
- An annual report will be published detailing fines collected and how the funds were allocated.
- The grant program is competitive and restricted to licensed home care providers or experienced organizations; a portion of each grant may be used for administrative costs.
Relevant terms - home care licensing surveys and investigations - fines (Level 1–Level 5) - maltreatment - sexual assault - correction orders - notice of noncompliance - immediate fines - appeals and reconsiderations - second fines - license suspension - dedicated special revenue account - annual report - grants / special projects grant program - home care providers - assisted living facilities - advisory council (home care and assisted living) - Minnesota Board of Nursing - Office of Ombudsman for Long-Term Care - Office of Ombudsman for Mental Health and Developmental Disabilities - county health and human services - dementia care - licensure and renewal - temporary license
Relevant Terms - compliance - client quality of care - health and safety - enforcement actions - investigation costs - corrective action - petition for reconsideration - provider accountability - grant administration - annual appropriation
Bill text versions
- Introduction PDF PDF file
Past committee meetings
- Human Services Finance and Policy on: March 03, 2026 08:15
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| February 19, 2026 | House | Action | Introduction and first reading, referred to | Human Services Finance and Policy |
Citations
[
{
"analysis": {
"added": [
"A five-level fine schedule for violations (Levels 2-5 with specified amounts) and additional maltreatment penalties.",
"Authorization of immediate imposition of fines for surveys and investigations.",
"Corrections orders with defined time frames and notice provisions.",
"Depositing fines into a dedicated special revenue account.",
"Annual reporting on fines and how funds are allocated; funding for advisory council and a grant program under 144A.4799."
],
"removed": [],
"summary": "This bill amends 144A.474 subdivision 11 to create a tiered, immediate-fine framework for home care licensing surveys and maltreatment-related violations, establish fines levels 1-5 with specified amounts, and authorize additional penalties for maltreatment; it ties enforcement to section 144A.475 and directs fines to a dedicated special revenue account used to fund an advisory council under 144A.4799 and a grant program for home care improvements; it also expands procedures including correction orders, notices, and appeals, and requires annual reporting.",
"modified": [
"Expands penalties and enforcement mechanisms for home care licensing and maltreatment violations, and links fines to enforcement actions under 144A.475."
]
},
"citation": "144A.474",
"subdivision": "subdivision 11"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "The bill references section 144A.475 as the source of enforcement mechanisms used with fines under 144A.474, but does not itself amend or create content within 144A.475.",
"modified": []
},
"citation": "144A.475",
"subdivision": ""
},
{
"analysis": {
"added": [
"Four public members (as defined in section 214.02), one of whom has recent home care experience and one with a family member receiving home care.",
"Two Minnesota home care licensees representing licensure levels.",
"One member representing the Minnesota Board of Nursing.",
"One member representing the Office of Ombudsman for Long-Term Care.",
"One member representing the Office of Ombudsman for Mental Health and Developmental Disabilities.",
"One member representing a county health and human services or county adult protection office.",
"Two Minnesota assisted living facility licensees representing facilities and dementia care.",
"One organization representing long-term care providers and one representative from a consumer advocacy organization."
],
"removed": [],
"summary": "The bill revises the Home Care and Assisted Living Advisory Council membership by specifying composition and appointment process; it lists 14 members including four public members (as defined in 214.02), home care licensees, Board of Nursing, Ombudsman offices, county health and human services, licensed providers, and consumer advocacy representation.",
"modified": [
"Adds or clarifies appointment processes and composition; introduces a fixed roster of 14 members."
]
},
"citation": "144A.4799",
"subdivision": "subdivision 1"
},
{
"analysis": {
"added": [
"Grants must be distributed to licensed home care providers under chapter 144A or to organizations with relevant experience in home care operations and client needs.",
"Unawarded funds by 2028 to be used for annual distributions starting in 2029 under 144A.474 subdivision 11 paragraph j."
],
"removed": [],
"summary": "The bill defines grant program criteria under 144A.4799, requiring grants to be distributed to licensed home care providers or organizations with relevant experience; it also directs that any unawarded funds by December 31, 2028 be used for annual distributions under 144A.474 subdivision 11 paragraph j beginning January 1, 2029.",
"modified": []
},
"citation": "144A.4799",
"subdivision": "subdivision 3 paragraph c"
},
{
"analysis": {
"added": [
"A fine of 1000 per maltreatment incident for maltreatment determined to be the licensee's responsibility.",
"A higher fine (up to 5000) may be imposed if maltreatment includes sexual assault, death, or abuse resulting in serious injury."
],
"removed": [],
"summary": "The bill enhances penalties for maltreatment by licensees under 626.557, including higher fines for certain maltreatment scenarios (e.g., sexual assault, death, or serious injury).",
"modified": [
"Integrates maltreatment severity into the overall fines framework and references these penalties alongside the 144A.474 levels."
]
},
"citation": "626.557",
"subdivision": "subdivision 9c paragraph c"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "The bill uses 214.02 to define 'public members' for the Home Care and Assisted Living Advisory Council, shaping the public representation on the council.",
"modified": [
"References 214.02 to define who qualifies as public members for the advisory council."
]
},
"citation": "214.02",
"subdivision": ""
}
]