SF4476 (Legislative Session 94 (2025-2026))
Parties who may be awarded fees and expenses modification in certain proceedings involving the state
Related bill: HF4338
AI Generated Summary
Purpose
This bill makes several changes related to health care facilities, assisted living facilities, fees in state proceedings, and how provider taxes apply. It aims to: - adjust who may be treated as a party in state court or administrative proceedings (and who can recover fees), - require assisted living facilities to meet stronger resident-rights and staffing standards, including a 24/7 means to request help (with some exceptions), - exempt assisted living facilities from the provider tax, - clarify who is considered a health care provider for tax purposes and how “patient services” are defined.
Main Provisions
- Party definition in proceedings:
- Expands or clarifies who counts as a “party” in court or contested cases, including certain business entities (with specified employee and revenue thresholds) and owners, officers, or partners.
- Excludes certain licensed service providers who are only providing licensure or reimbursement-rate services from being considered a party in these matters.
- Assisted living facilities – resident rights and assistance:
- Must distribute an assisted living bill of rights to residents.
- Must follow Nurse Practice Act requirements and use a person-centered planning and service delivery process.
- Must have a system for delegating certain health care activities to unlicensed personnel under RN supervision and evaluation.
- Must provide a means for residents to request health and safety assistance 24/7 (with possible use of technology to request assistance).
- Residents may decorate their unit, have access to food at all times, choose visitors and visiting times, and select a roommate if sharing.
- Must notify residents of their right to a lockable door to their unit; the facility must provide locks, staff with a need to enter may hold keys, and advance notice should be given before entry; facilities may not lock residents in their units.
- Must develop a staffing plan that ensures adequate staffing and the ability to respond to emergencies, with evaluations at least twice a year.
- Must ensure at least one or more staff are available 24/7 to respond to requests, are awake, located in or near the facility, can communicate with residents, can provide or summon appropriate help, and can follow directions.
- Must provide staff access to an on-call registered nurse 24/7.
- Exception to 24/7 assistance requirement:
- Not required to provide a means to request assistance for residents with moderate to severe cognitive impairment (e.g., dementia) who cannot reliably use alerting devices, based on a nursing assessment.
- Health care provider and provider tax:
- Revisions to the definition of “health care provider” to include many health care occupations and entities that provide services directly to patients, as well as those who contract with or supervise providers to deliver patient services.
- Excludes certain entities (e.g., hospitals, nursing homes, wholesale drug distributors, transportation providers) from being considered health care providers for these tax purposes.
- Reaffirms or adjusts how “provider tax” applies to health care-related goods and services, and notes an exemption for assisted living facilities from the provider tax.
- Patient services:
- Expands the list of services and goods considered “patient services” (e.g., bed and board, nursing services, use of facilities, drugs, supplies, diagnostic or therapeutic items, emergency services, etc.).
- Clarifies exclusions, including certain services for nursing homes, specific mental health facilities, and other listed program or service types.
Notable Changes to Existing Law
- Party eligibility and fee-shifting: The bill changes who can be named as a party in court or contested cases involving the state, potentially affecting who may recover fees and expenses.
- Assisted living facility standards: Adds comprehensive resident-rights provisions, staffing requirements, and 24/7 assistance mechanisms (with a cognitive-impairment exception), changing current practice expectations for assisted living facilities.
- Provider tax scope: Alters who is defined as a health care provider for tax purposes and creates an exemption for assisted living facilities from the provider tax, shifting the tax landscape for these facilities.
- Definitions and scope of health care services: Broadens who counts as providing patient services and how those services are categorized and taxed, with specific exclusions.
Implementation Considerations
- The changes to party definitions could affect who bears or recovers fees in state-related proceedings.
- Strengthened resident rights and staffing requirements may require facilities to adjust policies, staffing models, and operational procedures.
- The cognitive-impairment exception creates a boundary for 24/7 assistance requirements, potentially impacting certain residents’ expectations and facility practices.
- The provider tax exemption for assisted living facilities will affect facility revenues and budgeting, and may interact with other exemptions or tax provisions.
Potential Impacts
- Residents in assisted living facilities may gain stronger rights and clearer, more reliable access to help when needed.
- Facilities may incur higher operating costs due to staffing requirements and 24/7 on-call capabilities, though tax exemptions could offset some costs.
- Entities that previously could be considered parties in state proceedings under the old thresholds may see changes in their rights to recover costs.
Relevant Terms - party - health care provider - assisted living facility - assisted living bill of rights - Nurse Practice Act - person-centered planning - health and safety needs - 24 hours per day seven days per week (24/7) - means to request assistance - on-call registered nurse - staffing plan - lockable door - cognitive impairment - dementia - provider tax - Minnesota Statutes sections 15.471, 144G.41, 295.50 - patient services - housing with services establishments - board and lodging establishments - custodial services - licensed under chapter 144G and related chapters - administrative law judge - contested case proceeding
Bill text versions
- Introduction PDF PDF file
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 17, 2026 | Senate | Action | Introduction and first reading | ||
| March 17, 2026 | Senate | Action | Referred to | Human Services |
Citations
[
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 144G.41 subdivision 1 as amended to describe minimum assisted living facility requirements.",
"modified": []
},
"citation": "144G.41",
"subdivision": "subdivision 1"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 144G.41 by adding a new subdivision (subd.1c) related to exception for providing means to request assistance.",
"modified": []
},
"citation": "144G.41",
"subdivision": "subdivision 1c"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 295.50 subdivision 4 defining health care provider scope (provider tax context).",
"modified": []
},
"citation": "295.50",
"subdivision": "subdivision 4"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 295.50 subdivision 9b defining patient services for tax purposes.",
"modified": []
},
"citation": "295.50",
"subdivision": "subdivision 9b"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 2025 Supplement section 15.471 subdivision 6 defining who is a party for purposes of actions and contested cases.",
"modified": []
},
"citation": "15.471",
"subdivision": "subdivision 6"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Nurse Practice Act sections 148.171 to 148.285 as referenced by the bill ( Nurse Practice Act content).",
"modified": []
},
"citation": "148.171 to 148.285",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 245I.23 in relation to licensing or certification for certain facilities.",
"modified": []
},
"citation": "245I.23",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Chapter 245A (developmental disabilities services/licensing) referenced in the bill.",
"modified": []
},
"citation": "245A",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 245A.02 subdivision 2a in relation to home and community-based services for adults with developmental disabilities.",
"modified": []
},
"citation": "245A.02",
"subdivision": "subdivision 2a"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0621 related to services described in the bill (mental health/related services).",
"modified": []
},
"citation": "256B.0621",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0623 related to adult rehabilitative mental health services.",
"modified": []
},
"citation": "256B.0623",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0624 related to crisis response services.",
"modified": []
},
"citation": "256B.0624",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0943 related to childrens therapeutic services and supports.",
"modified": []
},
"citation": "256B.0943",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0625 subdivision 20 (specific service category referenced by the bill).",
"modified": []
},
"citation": "256B.0625",
"subdivision": "subdivision 20"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0625 subdivision 20a (specific service category).",
"modified": []
},
"citation": "256B.0625",
"subdivision": "subdivision 20a"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0625 subdivision 33 (specific service category).",
"modified": []
},
"citation": "256B.0625",
"subdivision": "subdivision 33"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.0625 subdivision 44 (specific service category).",
"modified": []
},
"citation": "256B.0625",
"subdivision": "subdivision 44"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.49 (general statutory reference for services).",
"modified": []
},
"citation": "256B.49",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 256B.501 (coverage/eligibility related provisions).",
"modified": []
},
"citation": "256B.501",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes 252.41 subdivision 3 (definition of day program/related services).",
"modified": []
},
"citation": "252.41",
"subdivision": "subdivision 3"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes section 157.17 (section cited in relation to board and lodging establishments).",
"modified": []
},
"citation": "157.17",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes chapter 144D (housing with services establishments registration).",
"modified": []
},
"citation": "144D",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes chapter 144A (home care/home health services licensing).",
"modified": []
},
"citation": "144A",
"subdivision": ""
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "Cites Minnesota Statutes chapter 256S (home and community-based waivered services).",
"modified": []
},
"citation": "256S",
"subdivision": ""
}
]Progress through the legislative process
In Committee