HF4354 (Legislative Session 94 (2025-2026))
Direct Care and Treatment data requirements modified, classification for employees established, patient consent procedures modified, voluntary patient transfer procedures modified, and technical corrections made.
Related bill: SF4399
AI Generated Summary
Purpose
- This bill revises how Minnesota’s state-operated human services program (Direct Care and Treatment, or DCT) handles data and privacy, makes changes to patient consent and transfer procedures, aligns certain employee classifications, and adds several related corrections to agency operations and protections.
Main Provisions
Data handling and privacy (DCT-focused changes)
- Expands and clarifies who can access welfare and health-related data and for what purposes, including program administration, fraud prevention, and cross-program evaluations.
- Broadly allows data sharing among state agencies (e.g., Department of Human Services, Department of Education, Department of Revenue, Department of Health, and others) and even local governments when needed to administer programs like welfare, child care, medical assistance, unemployment, and SNAP.
- Maintains protections for health records, with some exceptions for emergencies or when specifically allowed, and includes provisions about protecting certain data while allowing specified disclosures.
- Introduces formal processes for challenging accuracy of data held by DCT’s sex offender program.
Consent for medical treatment and guardianship (patients in DCT facilities)
- Establishes who may consent to medical procedures for patients in state-operated treatment programs, including competent adults, guardians, health care power of attorney, and nearest proper relatives in a defined order.
- Provides a pathway when a patient lacks capacity: the head of the facility may seek court approval or appoint a guardian; decisions must consider patient wishes when known.
- Requires documentation of capacity determinations, consent, and attempts to locate relevant surrogates, in the patient’s clinical record.
- Allows emergency consent by the facility head when urgent care is needed and ordinarily qualified surrogates cannot be located.
- Provides liability protections for those who obtain or act on consent in accordance with these rules.
- Requires periodic review of capacity determinations by the executive medical director, and a process for reconsideration or court review if requested.
Transfer of patients (safety-focused)
- Adds a rule for patients with mental illness who are dangerous to the public: they cannot be transferred out of a secure treatment facility unless a hearing, a majority vote by a special review board, and approval deem the transfer appropriate.
Classification and staffing (DCT employees)
- Allows converting certain Direct Care and Treatment employees from unclassified to classified service with approval from Minnesota Management and Budget.
- Converted employees must be treated like other classified staff (probation, training, employment terms) and must not have their salary reduced due to the conversion.
Administrative and technical corrections
- Makes a series of adjustments to existing statutes related to the above topics and aligns cross-references.
Significant Changes to Existing Law
Privacy and data-sharing landscape
- Significantly expands data-sharing permissions across multiple state agencies and programs, which could affect how much personal information is shared and with whom.
- Introduces defined terms and clarifications for Welfare System data, private data on individuals, and mental health data to guide new disclosures.
Patient consent and decision-making authority
- Establishes a detailed framework for obtaining consent when patients are not capable of deciding for themselves, including the roles of guardians, health care power of attorney, nearest relatives, and, if needed, the court.
- Formalizes documentation requirements and periodic capacity reviews.
Patient safety and transfers
- Creates a protective transfer standard for dangerous patients, tying transfers to a defined review process and board recommendation.
Staffing structure
- Enables a path to move some DCT staff into the classified service, affecting employment rules and protections.
Potential Implications
- Privacy vs. coordination: The broader data-sharing provisions could improve care coordination and program evaluation but may raise concerns about who sees what data and how it’s used.
- Patient rights and autonomy: The consent framework strengthens procedures for incapacitated patients, guardians, and surrogates, potentially increasing court involvement in medical decisions.
- Public safety and treatment: Transfer restrictions for dangerous patients aim to balance safety with treatment needs, potentially affecting placement decisions.
- Workforce changes: Converting DCT employees to classified status could impact job protections and pay structures.
Terminology and Concepts to Note
- Direct Care and Treatment (DCT)
- Welfare system; private data on individuals
- Medical data vs. directory information
- Guardianship; health care power of attorney; nearest proper relative
- Executive medical director; special review board
- Capacity determination; informed consent; emergency consent
- State-operated treatment program; guardianship coordination
- Classified service; unclassified employees
- Transfer of patients; secure treatment facility
- Data practices compliance official; data challenges
Relevant Terms - Direct Care and Treatment (DCT) - Welfare system - Private data; medical data; directory information - Health care power of attorney - Guardianship; nearest proper relative - Executive medical director; special review board - Written informed consent; capacity determination - State-operated treatment program - Emergency consent - Classified vs unclassified service - Secure treatment facility; transfer - Data sharing; data practices compliance official - Unlawful or dangerous-to-public behavior (fugitive felon context is referenced in related data sharing and safety provisions)
Bill text versions
- Introduction PDF PDF file
Past committee meetings
- Human Services Finance and Policy on: March 18, 2026 08:15
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 16, 2026 | House | Action | Introduction and first reading, referred to | Human Services Finance and Policy |
Citations
[
{
"analysis": {
"added": [
"Authority to determine adjust and settle claims of $7,000 or less arising from negligent loss, damage, or destruction of property of a patient.",
"Process for presenting claims greater than $7,000 to the legislative claims procedure."
],
"removed": [],
"summary": "Amends the Loss Damage or Destruction of Property section for state institutions and correctional facilities, establishing a $7,000 threshold and a process for claims and settlements.",
"modified": [
"Defines the scope and settlement authority for property claims involving state institutions and the Direct Care and Treatment system."
]
},
"citation": "3.7381",
"subdivision": "a"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Continues the claim procedures for larger claims above $7,000.",
"modified": [
"Maintains the legislative claims procedure as the remedy for larger claims."
]
},
"citation": "3.7381",
"subdivision": "b"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Affirms that the procedure in this section is exclusive of other remedies.",
"modified": [
"Clarifies exclusivity of remedies for claims covered by this section."
]
},
"citation": "3.7381",
"subdivision": "c"
},
{
"analysis": {
"added": [
"Requires challenges to the accuracy or completeness of sex offender program data to be submitted in writing to the data practices compliance official."
],
"removed": [],
"summary": "Adds a data-challenge process for the Direct Care and Treatment sex offender program data.",
"modified": [
"Requires a formal response to data challenges by the compliance official."
]
},
"citation": "13.04",
"subdivision": "4a"
},
{
"analysis": {
"added": [
"Definitions for directory information (e.g., name, admission date, general condition) and for medical data (data collected about patients in government-operated facilities)."
],
"removed": [],
"summary": "Defines directory information and medical data for the section.",
"modified": [
"Revises definitions related to patient data used by Direct Care and Treatment."
]
},
"citation": "13.384",
"subdivision": "1"
},
{
"analysis": {
"added": [
"Definitions for Individual, Welfare system, and Mental health data.",
"Definitions for Fugitive felon and Private licensing agency."
],
"removed": [],
"summary": "Expands definitions related to the welfare system and data categories.",
"modified": [
"Broadens terms used for data privacy and welfare system data."
]
},
"citation": "13.46",
"subdivision": "1"
},
{
"analysis": {
"added": [
"Right to receive citations, notices, hearings, and related documents.”",
"Right to request a consultation with the department regarding penalties issued after an employee’s death."
],
"removed": [],
"summary": "Adds rights of next of kin upon the death of an employee, including notices and opportunities for consultation.",
"modified": [
"Extends notice and post-death communications to next of kin; ties to section 253B.03(6)."
]
},
"citation": "182.6545",
"subdivision": ""
},
{
"analysis": {
"added": [
"Detailed procedures for obtaining written informed consent from competent adults, guardians, or nearest proper relatives.",
"Priority hierarchy for who may consent (spouse, parent, adult child, adult sibling)."
],
"removed": [],
"summary": "Revises consent requirements for medical treatment of patients in state-operated facilities.",
"modified": [
"Reforms consent processes and documentation requirements for state-operated treatment."
]
},
"citation": "253B.03",
"subdivision": "6"
},
{
"analysis": {
"added": [
"Requires a hearing and favorable recommendation by a special review board before transfer from a secure treatment facility."
],
"removed": [],
"summary": "Adds transfer provisions for patients with mental illness who may pose a danger to the public.",
"modified": [
"Introduces transfer safeguards for dangerous patients."
]
},
"citation": "253B.18",
"subdivision": "14"
},
{
"analysis": {
"added": [
"Allows conversion of certain unclassified DCT employees to classified service with approval from Minnesota Management and Budget."
],
"removed": [],
"summary": "Classification alignment for Direct Care and Treatment employees.",
"modified": [
"Sets terms, probationary periods, and training expectations for converted employees."
]
},
"citation": "246C.051",
"subdivision": ""
},
{
"analysis": {
"added": [
"General private data provisions governing welfare data and disclosures."
],
"removed": [],
"summary": "Adds a general data-privacy subchapter related to welfare system data.",
"modified": [
"Expands privacy protections and disclosure rules for welfare data."
]
},
"citation": "13.46",
"subdivision": "2"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Transfers—additional provisions (supplemental).",
"modified": [
"References to transfer provisions updated in 2025 Supplement."
]
},
"citation": "253B.18",
"subdivision": "6"
},
{
"analysis": {
"added": [
"Health records governed by sections 144.291 to 144.298."
],
"removed": [],
"summary": "Health data governance—references to health records.",
"modified": [
"Maintains health data governance standards for Direct Care and Treatment."
]
},
"citation": "144.291",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Notwithstanding data-disclosure provisions related to health data.",
"modified": [
"Preserves confidentiality while allowing certain data challenges."
]
},
"citation": "144.2925",
"subdivision": ""
},
{
"analysis": {
"added": [
"Consent for treatment of minors (16+) including hospitalization and emergency cases."
],
"removed": [],
"summary": "Minor patient consent provisions ( Subdivisions 4-5 ).",
"modified": [
"Clarifies consent requirements for minors and emergencies."
]
},
"citation": "144.341",
"subdivision": "to"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Not used in text; placeholder for related minor consent provisions.",
"modified": []
},
"citation": "144.384",
"subdivision": ""
},
{
"analysis": {
"added": [
"References to health-care directives and powers of attorney in treatment decisions."
],
"removed": [],
"summary": "Durable power of attorney for health care referenced in consent and incapacity decisions.",
"modified": [
"Aligns treatment decisions with patient-directed directives where available."
]
},
"citation": "145C",
"subdivision": ""
},
{
"analysis": {
"added": [
"Connection to section 145A.02 subdivision 5 for health care directives."
],
"removed": [],
"summary": "Defines health care directives and their role in consent decisions.",
"modified": [
"Incorporates health-care directives into consent and incapacity determinations."
]
},
"citation": "145A.02",
"subdivision": "5"
},
{
"analysis": {
"added": [
"Disclosures to guardianship systems and related parties to coordinate guardianship services."
],
"removed": [],
"summary": "Disclosures related to guardianship coordination and related matters.",
"modified": [
"Adds specifics on guardianship-related disclosures and coordination."
]
},
"citation": "524.5102",
"subdivision": "7"
},
{
"analysis": {
"added": [
"Allows petitions under section 253B.17 for review of capacity determinations."
],
"removed": [],
"summary": "Filing petitions for review of incapacity decisions.",
"modified": [
"Clarifies processes for challenging determinations of capacity."
]
},
"citation": "253B.17",
"subdivision": ""
},
{
"analysis": {
"added": [
"References to 136A.121 subdivision 2, clause 5 for certain data-sharing purposes."
],
"removed": [],
"summary": "Monitoring and evaluation related to welfare programs.",
"modified": [
"Incorporates welfare data-sharing provisions within capacity and guardianship processes."
]
},
"citation": "136A.121",
"subdivision": "2"
},
{
"analysis": {
"added": [
"Disclosures related to fugitive felon status for law enforcement coordination."
],
"removed": [],
"summary": "Fugitive felon provisions and related data sharing.",
"modified": [
"Updates references to fugitive felon status in welfare data sharing."
]
},
"citation": "243.166",
"subdivision": ""
},
{
"analysis": {
"added": [
"Disclosures to Department of Revenue for tax refund/credit programs and to prepare databases for required reports."
],
"removed": [],
"summary": "Disclosures to administer tax refund or credit programs and related databases.",
"modified": [
"Expands data disclosures tied to tax-related programs."
]
},
"citation": "270B.14",
"subdivision": "1"
},
{
"analysis": {
"added": [
"Provisions to monitor eligibility and exchange data for unemployment and related programs."
],
"removed": [],
"summary": "Data sharing for unemployment benefits and related programs.",
"modified": [
"Broadens interagency data sharing for employment services and program evaluation."
]
},
"citation": "270C.13",
"subdivision": ""
},
{
"analysis": {
"added": [
"Permits data exchange with related agencies to monitor and evaluate Public Assistance programs."
],
"removed": [],
"summary": "Data sharing to monitor and evaluate public assistance programs.",
"modified": [
"Expands cross-agency data sharing for program evaluation."
]
},
"citation": "518A.81",
"subdivision": ""
},
{
"analysis": {
"added": [
"Disclosure to law enforcement for certain welfare and identity information."
],
"removed": [],
"summary": "Public disclosures to law enforcement in specific welfare cases.",
"modified": [
"Clarifies limits and purposes for law-enforcement disclosures in welfare matters."
]
},
"citation": "237.70",
"subdivision": "4a"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "SNAP and related public assistance data sharing.",
"modified": [
"References to Chapter 142F in context of SNAP and related programs."
]
},
"citation": "142F",
"subdivision": ""
},
{
"analysis": {
"added": [
"Interagency data sharing for SNAP and related assistance."
],
"removed": [],
"summary": "SNAP and related welfare data-sharing provisions.",
"modified": [
"Expands how welfare data is shared across programs."
]
},
"citation": "256D",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Public assistance data-sharing for welfare programs.",
"modified": [
"Expands cross-program data sharing for welfare recipients."
]
},
"citation": "256J",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Public assistance program data-sharing provisions.",
"modified": [
"Further refinements to how data is shared between welfare programs."
]
},
"citation": "256K",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "General assistance data provisions.",
"modified": [
"Integrates general assistance data with broader welfare-system disclosures."
]
},
"citation": "256B",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Additional welfare data-sharing provisions.",
"modified": [
"Expands data-sharing related to medical programs and welfare administration."
]
},
"citation": "256L",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Dependent care credit provisions referenced for data sharing.",
"modified": [
"Incorporates data-sharing provisions affecting tax credits."
]
},
"citation": "290.067",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Minnesota working family credit reference for data sharing.",
"modified": [
"Adds cross-references to data sharing related to tax credits."
]
},
"citation": "290.0671",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Property tax refund data sharing provisions.",
"modified": [
"Connects tax-credit related data with welfare data exchanges."
]
},
"citation": "290A.04",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Minnesota education credit references for data sharing.",
"modified": [
"Links education credit data with welfare and tax data exchanges."
]
},
"citation": "290.0674",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Federal authority for data sharing related to public assistance and nutrition programs.",
"modified": [
"References to federal regulations governing program data sharing."
]
},
"citation": "7 CFR 272.1(c)",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Federal privacy requirements for health information.",
"modified": [
"Ensures health information handling complies with federal privacy regulations."
]
},
"citation": "45 CFR parts 160-164",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Specific privacy provision related to health information.",
"modified": [
"Aligns state data practices with federal privacy standards."
]
},
"citation": "45 CFR 160.103",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Federal protection and advocacy provisions referenced (Part C).",
"modified": [
"Incorporates federal protections for individuals with developmental disabilities in guardianship and related procedures."
]
},
"citation": "Public Law 98-527",
"subdivision": "Part C"
},
{
"analysis": {
"added": [
"Authority to match Department of Education student data with public assistance data for meal eligibility and related funding."
],
"removed": [],
"summary": "Data sharing with Department of Education for student data matches for public meal programs.",
"modified": [
"Expanded cross-agency data matching for school meals and energy assistance programs."
]
},
"citation": "142A.29",
"subdivision": ""
},
{
"analysis": {
"added": [
"Shared data limited to name, date of birth, address, and program eligibility for coordination of transportation services."
],
"removed": [],
"summary": "Coordination of special transportation services with welfare programs.",
"modified": [
"Streamlines transportation coordination between DHS and Metropolitan Council and related agencies."
]
},
"citation": "473.386",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Definitions related to the welfare system including community mental health centers and welfare boards.",
"modified": [
"Clarifies scope of welfare system definitions referenced in data-sharing provisions."
]
},
"citation": "245A.02",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Reference to general data-provision framework (section 13.05) within data-sharing context.",
"modified": [
"Incorporates cross-references to general data-use provisions."
]
},
"citation": "13.05",
"subdivision": ""
},
{
"analysis": {
"added": [
"Explicit reference to who qualifies as a proper relative for consent in medical decisions."
],
"removed": [],
"summary": "Proper relative definition for consent and capacity determinations.",
"modified": [
"Supports consent processes for incapacitated patients."
]
},
"citation": "13.02",
"subdivision": "8"
}
]Progress through the legislative process
In Committee