Purpose

Establishes a prenatal and newborn benefit program to provide financial support to families with newborns in Minnesota. The program is administered by the commissioner of employment and economic development, includes rulemaking authority, and requires appropriations. It is codified in Minnesota Statutes chapter 268B.

Key Provisions

• Creation of a program to provide both prenatal financial support and monthly newborn payments to eligible families.
• Definitions:
  • Health care provider includes physicians, physician assistants, osteopaths, APRNs, certified professional midwives, birth doulas, and other approved individuals.
  • Newborn means a child no more than six months old.
  • Commissioner refers to the commissioner of employment and economic development.
• General eligibility:
  • Applicant must be a Minnesota resident.
  • Benefits available to applicants based on their legal relationship to a newborn born on or after January 1, 2028.
  • Eligibility is not subject to income or asset tests and is not conditioned on employment status.
• Prenatal financial support:
  • One-time prenatal benefit of $1,500.
  • May be issued no earlier than 90 days before the child’s estimated or actual due date, date of adoption, or placement with a legal guardian.
  • Must be supported by documentation showing the child’s birth and the applicant’s legal relationship (biological parent, adoptive parent, or legal guardian); documentation can come from a health care provider, adoption/foster agency, or another commissioner-approved source.
  • More than one parent/guardian can be listed, but only one prenatal payment may be issued per child.
• Newborn financial support:
  • Monthly benefit of $750 for 24 consecutive months, starting no earlier than the child’s birth, adoption, or placement date.
  • Must be supported by documentation of the child’s birth and the applicant’s legal relationship to the newborn.
  • Documentation can include birth certificates, vital records verification, adoption records, or official foster placement documents.
  • More than one parent/guardian can be listed, but only one monthly payment may be issued per newborn.
  • Applicants are ineligible for any given month if they are not Minnesota residents.
• Application process:
  • Applicants must use a process developed by the commissioner with options to apply online, by mail, or in person.
• Change in status:
  • Applicants must notify the commissioner in writing of any change in status (e.g., status as parent or guardian) while a benefit is pending or while receiving benefits.
• Cost of living adjustment (COLA):
  • Beginning July 1, 2030, and every even-numbered year thereafter, the commissioner must apply an annual COLA to both prenatal and newborn benefit payments.
• Interaction with other benefits:
  • Cash payments under this section are not counted as income, assets, or personal property for determining eligibility or recertification for various other programs (child care, food support, welfare programs, housing support, etc.).
  • Cash payments are not counted as income or assets for medical assistance (MA) eligibility.
• Rulemaking:
  • The commissioner may adopt rules to administer the program.
• Outreach:
  • The commissioner must conduct public outreach in partnership with health care providers, local public health agencies, community-based organizations, and Tribal governments to inform families about the benefits.
• Evaluation and reporting:
  • Starting February 1, 2029, the commissioner must report biennially (by February 1 of each odd-numbered year) on participation, expenditures, outcomes, and potential changes to benefits or administration.
  • The commissioner may contract with an independent research organization or academic institution to evaluate impacts on child and family well-being.

Administration and Implementation

• Administered by the commissioner of employment and economic development.
• Includes rulemaking and mandated outreach in collaboration with health care, public health, community groups, and Tribal governments.
• Requires an annual (biennial) evaluation framework and potential external research involvement to assess outcomes.

Financial Provisions and Timing

• Prenatal benefit: one-time $1,500.
• Newborn benefit: $750 per month for 24 months.
• Births after January 1, 2028 are targeted for eligibility.
• Cost-of-living adjustments begin after 2030 and apply every even-numbered year.

Effects on Existing Law

• Creates a new prenatal/newborn benefit program codified in Chapter 268B.
• Establishes eligibility rules that do not consider income, assets, or employment status.
• Clarifies that benefits are not income/assets for many other public programs, nor for MA eligibility.
• Expands the universe of health care providers who can support program documentation (including birth doulas and other approved individuals).

Date of Effect and Applicability

• Applicable to births on or after January 1, 2028, with prenatal payments available no earlier than 90 days before the due date or placement events.
• COLA provisions apply beginning July 1, 2030, and every even-numbered year thereafter.

Significant Changes Compared to Prior Law

• Adds a new financial support framework specifically for prenatal and newborn needs without regard to income or employment status.
• Creates ongoing monthly support for 24 months after birth.
• Establishes a formal, ongoing evaluation and outreach framework and potential for independent research.

Relevant Terms prenatal financial support; newborn financial support; prenatal benefit; newborn benefit; one-time prenatal payment; monthly newborn payment; $1,500; $750; 24 months; Newborn means six months or younger; Minnesota resident; eligibility; health care provider; birth doula; adoptive parent; biological parent; legal guardian; documentation; due date; date of birth; date of adoption; placement with a legal guardian; commissioner of employment and economic development; rulemaking; cost of living adjustment; outreach; evaluation; public health; tribal governments; documentation requirements; no income or asset test; not counted as income/assets for other programs.