1.1 A bill for an act
1.2 relating to human services; modifying provisions related to supportive housing;
1.3 amending Minnesota Statutes 2024, section 256I.04, subdivision 3.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2024, section 256I.04, subdivision 3, is amended to read:
1.6 Subd. 3.Moratorium on development of housing support beds.(a) Agencies shall
1.7not enter into agreements for new housing support beds with total rates in excess of the
1.8MSA equivalent rate except:
1.9 (1) for establishments licensed under chapter 245D provided the facility is needed to
1.10meet the census reduction targets for persons with developmental disabilities at regional
1.11treatment centers;
1.12 (2) up to 80 beds in a single, specialized facility located in Hennepin County that will
1.13provide housing for chronic inebriates who are repetitive users of detoxification centers and
1.14are refused placement in emergency shelters because of their state of intoxication, and
1.15planning for the specialized facility must have been initiated before July 1, 1991, in
1.16anticipation of receiving a grant from the Housing Finance Agency under section 462A.05,
1.17subdivision 20a, paragraph (b);
1.18 (3) notwithstanding the provisions of subdivision 2a, for up to 226 supportive housing
1.19units in Anoka, Carver, Dakota, Hennepin, Ramsey, Scott, or Washington County for
1.20homeless adults with a disability, including but not limited to mental illness, a history of
1.21substance abuse, or human immunodeficiency virus or acquired immunodeficiency syndrome.
1.22For purposes of this section clause, "homeless adult" means a person who is (i) living on
1Section 1.
REVISOR DTT/VJ 25-0375002/20/25
State of Minnesota
This Document can be made available
in alternative formats upon request
HOUSE OF REPRESENTATIVES
H. F. No. 1946
NINETY-FOURTH SESSION
Authored by Virnig and Reyer03/05/2025
The bill was read for the first time and referred to the Committee on Human Services Finance and Policy 2.1the street or in a shelter, or (ii) discharged from a regional treatment center, community
2.2hospital, or residential treatment program and has no appropriate housing available and
2.3lacks the resources and support necessary to access appropriate housing. At least 70 percent
2.4of the supportive housing units must serve homeless adults with mental illness, substance
2.5abuse problems, or human immunodeficiency virus or acquired immunodeficiency syndrome
2.6who are about to be or, within the previous six months, have been discharged from a regional
2.7treatment center, or a state-contracted psychiatric bed in a community hospital, or a residential
2.8mental health or substance use disorder treatment program. If a person meets the requirements
2.9of subdivision 1, paragraph (a) or (b), and receives a federal or state housing subsidy, the
2.10housing support rate for that person is limited to the supplementary rate under section
2.11256I.05, subdivision 1a, and is determined by subtracting the amount of the person's
2.12countable income that exceeds the MSA equivalent rate from the housing support
2.13supplementary service rate. A resident in a demonstration project site who no longer
2.14participates in the demonstration program shall retain eligibility for a housing support
2.15payment in an amount determined under section 256I.06, subdivision 8, using the MSA
2.16equivalent rate. Service funding under section 256I.05, subdivision 1a, will end June 30,
2.171997, if federal matching funds are available and the services can be provided through a
2.18managed care entity. If federal matching funds are not available, then service funding will
2.19continue under section 256I.05, subdivision 1a;
2.20 (4) for an additional two beds, resulting in a total of 32 beds, for a facility located in
2.21Hennepin County providing services for men with and recovering from substance use
2.22disorder that has had a housing support contract with the county and has been licensed as
2.23a board and lodge facility with special services since 1980;
2.24 (5) for a housing support provider located in the city of St. Cloud, or a county contiguous
2.25to the city of St. Cloud, that operates a 40-bed facility, that received financing through the
2.26Minnesota Housing Finance Agency Ending Long-Term Homelessness Initiative and serves
2.27clientele with substance use disorder, providing 24-hour-a-day supervision;
2.28 (6) for a new 65-bed facility in Crow Wing County that will serve persons with substance
2.29use disorder, operated by a housing support provider that currently operates a 304-bed
2.30facility in Minneapolis, and a 44-bed facility in Duluth;
2.31 (7) for a housing support provider that operates two ten-bed facilities, one located in
2.32Hennepin County and one located in Ramsey County, that provide community support and
2.3324-hour-a-day supervision to serve the mental health needs of individuals who have
2.34chronically lived unsheltered; and
2Section 1.
REVISOR DTT/VJ 25-0375002/20/25 3.1 (8) for a facility authorized for recipients of housing support in Hennepin County with
3.2a capacity of up to 48 beds that has been licensed since 1978 as a board and lodging facility
3.3and that until August 1, 2007, operated as a licensed substance use disorder treatment
3.4program.
3.5 (b) An agency may enter into a housing support agreement for beds with rates in excess
3.6of the MSA equivalent rate in addition to those currently covered under a housing support
3.7agreement if the additional beds are only a replacement of beds with rates in excess of the
3.8MSA equivalent rate which have been made available due to closure of a setting, a change
3.9of licensure or certification which removes the beds from housing support payment, or as
3.10a result of the downsizing of a setting authorized for recipients of housing support. The
3.11transfer of available beds from one agency to another can only occur by the agreement of
3.12both agencies.
3Section 1.
REVISOR DTT/VJ 25-0375002/20/25