Purpose

The bill creates a state program to provide financial support to families with newborns, covering both prenatal and post-birth needs. The goal is to help families with the costs associated with pregnancy and caring for a newborn, funded by state money and administered by the state’s department of employment and economic development.

Key definitions

• Health care provider: includes physicians, physician assistants, osteopaths, advanced practice registered nurses, certified professional midwives, birth doulas, or other individuals the commissioner approves to document eligibility.
• Newborn: a child no more than six months old.
• Commissioner: the commissioner of employment and economic development.

What the program covers

• Prenatal financial support: a one-time payment of $1,500 may be requested no earlier than 90 days before the child’s estimated or actual due date, date of adoption, or date of placement with a legal guardian.
• Newborn financial support: a monthly payment of $750 for 24 consecutive months after the child’s birth, adoption, or placement with a legal guardian.
• One payment per child: even if more than one parent or guardian is listed, only one prenatal payment and one newborn payment per child can be issued.

Eligibility

• Residency and timing: applicant must be a Minnesota resident and have a relationship to a newborn born on or after January 1, 2028.
• Income and work: eligibility is not subject to any income or asset test and is not conditioned on employment status.

Application process and documentation

• Applications for prenatal and newborn benefits can be submitted online, by mail, or in person using a process developed by the commissioner.
• Documentation required can include: birth or adoption records, verification of birth, or other legal records showing the relationship to the child.
• For prenatal: documentation must show the child’s actual or pending birth and the applicant’s relationship (biological parent, adoptive parent, or legal guardian).
• For newborn: documentation must show the child’s birth and the applicant’s relationship to the child (biological parent, adoptive parent, or legal guardian).
• If more than one parent or guardian is listed, only one prenatal and one newborn payment may be issued per child.

Change in status

• Applicants must notify the commissioner in writing of any change in status as a parent or legal guardian while an application is pending or while benefits are being received.

Cost-of-living adjustment (COLA)

• Beginning July 1, 2030, and every even-numbered year after, the commissioner must apply an annual COLA to the amounts of both prenatal and newborn benefits.

Interaction with other benefits

• Cash payments under this program must not be counted as income, assets, or personal property for determining eligibility or recertification for a range of other programs (such as child care assistance, food support, Minnesota Family Investment Program and related programs, general assistance, housing support, and other economic assistance programs).
• Cash payments must not be counted as income or assets for medical assistance under the relevant Medicaid provisions.

Administration, rulemaking, and outreach

• The commissioner may adopt rules to administer the program.
• Public outreach must be conducted in collaboration with health care providers, local public health agencies, community-based organizations, and Tribal governments to inform families about the program.

Evaluation and reporting

• Starting February 1, 2029, the commissioner must report to the legislature every odd-numbered year on program participation, expenditures, outcomes, and any recommended changes to benefits, duration, or administration.
• The commissioner may contract with an independent research organization or academic institution to evaluate the program’s impact on the well-being of children and families.

Significance and potential impact

• Introduces a universal (not income-tested) financial support framework aimed at supporting families with prenatal and early childhood needs for births occurring on or after 2028.
• Creates ongoing financial support (up to 24 months post-birth) and a one-time prenatal grant, with reviews and evaluation to inform future policy changes.
• Establishes an administrative framework, including documentation requirements, rulemaking authority, and public reporting to monitor effectiveness and cost.

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