SF4810

Purpose

To provide a new, county-specific funding option in Washington County for housing support providers. The goal is to support adults who have mental illness, substance use disorders (including those with co-occurring conditions), or who are experiencing housing instability and need related health or behavioral health support. The bill creates a mechanism for additional, targeted funding to help these providers deliver round-the-clock supervision and other services.

Main Provisions

• Adds a new subdivision (Subd. y) to Minnesota Statutes, allowing a supplemental rate for Washington County.
• Notwithstanding other rate rules (subdivisions 1a and 1c), a county agency must negotiate a supplemental rate for up to 29 beds, in addition to the base rate.
• The supplemental rate is capped at $1,028 per month (including any inflationary adjustments). This cap applies to housing support providers in Washington County that operate facilities offering room and board and supplementary services to eligible adults.
• Eligible providers must deliver 24-hour-a-day supervision and other support services.
• The negotiated supplemental rate must be retroactive to April 1, 2026.

How It Affects Existing Law

• Introduces a new subdivision (Subd. y) to 256I.05, creating a targeted supplemental rate for a specific county.
• Overrides certain existing rate provisions for the affected providers by using a “Notwithstanding” clause concerning subdivisions 1a and 1c.
• Changes the process from a static rate to a negotiated supplemental rate for up to 29 beds, specifically for Washington County.

Eligibility and Scope

• Location: Washington County.
• Providers: Housing support facilities that provide room and board plus supplementary services.
• Population served: Adults with a primary diagnosis of mental illness, substance use disorder, or co-occurring mental illness and substance use disorder, as well as adults experiencing housing instability who have related functional or behavioral health support needs.
• Services required: 24-hour-a-day supervision and other supportive services.

Financial Details and Timeline

• Supplemental rate: Up to $1,028 per month (including inflation adjustments) for each of up to 29 beds.
• In addition to: The rate is in addition to the base rate described in subdivision 1.
• Effective date: Retroactively effective from April 1, 2026, once negotiated.
• Process: The county agency must negotiate the supplemental rate for eligible providers and beds.

Practical Impact

• Provides Washington County with a targeted funding mechanism to support housing with services for individuals with mental health or substance use needs, aiming to improve housing stability and access to ongoing behavioral health supports.
• Establishes a formal, county-level negotiation framework rather than a static statewide rate, allowing local adjustments within the cap.

Relevant Terms - supplemental rate - Washington County - housing support providers - beds (up to 29) - room and board - supplementary services - adult - primary diagnosis of mental illness - substance use disorder - cooccurring mental illness and substance use disorder - housing instability - functional or behavioral health support needs - 24-hour-a-day supervision - inflationary adjustments - retroactive - effective date (April 1, 2026) - Notwithstanding - subdivision 1a - subdivision 1c - negotiated rate