1.1 A bill for an act 1.2 relating to health; establishing an ambulance operating deficit grant program; 1.3 establishing an account; requiring reports; proposing coding for new law in 1.4 Minnesota Statutes, chapter 144E. 1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 1.6 Section 1. [144E.54] AMBULANCE OPERATING DEFICIT GRANT PROGRAM. 1.7 Subdivision 1.Definitions.(a) For the purposes of this section, the terms defined in this 1.8subdivision have the meanings given. 1.9 (b) "Capital expenses" means expenses incurred by a licensee for the purchase, 1.10improvement, or maintenance of assets with an expected useful life of greater than five 1.11years that improve the efficiency of provided ambulance services or the capabilities of the 1.12licensee. 1.13 (c) "EMS response" means the number of responses provided within a primary service 1.14area during the most recently completed calendar year by the licensed ambulance service 1.15provider designated to serve the primary service area as reported by the provider to the 1.16board via the Minnesota state ambulance reporting system. 1.17 (d) "Government licensee" means any government entity, as defined in section 118A.01, 1.18subdivision 2, including a Tribe, that is a licensee. 1.19 (e) "Insurance revenue" means revenue from Medicare, medical assistance, private health 1.20insurance, third-party liability insurance, and payments from individuals. 1.21 (f) "Operating deficit" means the sum of insurance revenue and other revenue is less 1.22than the sum of operational expenses and capital expenses. 1Section 1. REVISOR AGW/ES 25-0243202/03/25 State of Minnesota This Document can be made available in alternative formats upon request HOUSE OF REPRESENTATIVES H. F. No. 337 NINETY-FOURTH SESSION Authored by Zeleznikar02/13/2025 The bill was read for the first time and referred to the Committee on Health Finance and Policy 2.1 (g) "Operational expenses" means costs related to the day-to-day operations of an 2.2ambulance service, including but not limited to costs related to personnel, supplies and 2.3equipment, fuel, vehicle maintenance, travel, education, and fundraising. 2.4 (h) "Other revenue" means revenue from any revenue that is not insurance revenue, 2.5including but not limited to grants, tax revenue, donations, fundraisers, or standby fees. 2.6 (i) "Response density" means the quotient of EMS responses divided by the square 2.7mileage of the primary service area. 2.8 Subd. 2.Program establishment.An ambulance operating deficit grant program is 2.9established to award grants to applicants to address revenue shortfalls creating operating 2.10deficits among eligible applicants. 2.11 Subd. 3.Account established.An ambulance operating deficit account is created in the 2.12special revenue fund in the state treasury. The director shall credit the account appropriations 2.13and transfers to the account. Earnings, including interest, dividends, and any other earnings 2.14arising from assets of the account, must be credited to the account. The director shall manage 2.15the account. 2.16 Subd. 4.Eligible applicants.For the purposes of this section "eligible applicant" means 2.17any licensee who possessed a license not excluded under subdivision 5 or 6 in the last 2.18completed state fiscal year for which data was provided to the director, as provided in section 2.1962J.49, who continues to operate that same nonexcluded license at the time of application, 2.20and who provides verifiable evidence of an operating deficit in the state fiscal year prior to 2.21submitting an application. 2.22 Subd. 5.Licensee providing specialized life support services excluded.Licensees 2.23providing specialized life support services as described in section 144E.101, subdivision 9, 2.24are ineligible for grants under this section. 2.25 Subd. 6.Certain single license holders excluded.Licensees who possess only one 2.26license are not eligible for grants under this section if the licensed primary service area has 2.27a response density greater than 30. 2.28 Subd. 7.Certain multiple license holders excluded.(a) Except as provided under 2.29paragraph (b), all licenses held by a multiple license holder are ineligible for grants under 2.30this section if any license held by a multiple license holder is designated to serve a primary 2.31service area, any portion of which is located within the cities of Duluth, Mankato, Rochester, 2.32or St. Cloud, or a metropolitan county. 2Section 1. REVISOR AGW/ES 25-0243202/03/25 3.1 (b) For a multiple license holder affiliated with a private nonprofit adult hospital that is 3.2located in Hennepin County and designated by the commissioner of health as a level I trauma 3.3hospital, only the licenses held by the multiple license holder and located entirely within 3.4one or more metropolitan counties are ineligible for grants under this section. 3.5 Subd. 8.Application process.(a) An eligible licensee may apply to the director, in the 3.6form and manner determined by the director, for a grant under this section. 3.7 (b) A grant application made by a government licensee must be accompanied by a 3.8resolution of support from the governing body. 3.9 Subd. 9.Director calculations.The director shall award grants only to applicants who 3.10provide verifiable evidence of an operating deficit in the last completed state fiscal year for 3.11which data were provided to the director. A grant awarded must not be more than five 3.12percent more than any previous grant without special permission from the director. 3.13 Subd. 10.Grant awards; limitations.(a) Grants awarded under this section to eligible 3.14applicants may be proportionally distributed based on money available. Total amounts 3.15awarded must not exceed the amount in the ambulance operating deficit account. 3.16 (b) The director shall award grants annually. 3.17 (c) The director must not award individual grants that exceed the amount of the grantee's 3.18most recent verified operating deficit as reported to the director. 3.19 Subd. 11.Eligible expenditures.A grantee must spend grant money received under 3.20this section on operational expenses and capital expenses incurred to provide ambulance 3.21services. 3.22 Subd. 12.Report.By February 15, 2026, and annually thereafter, the director must 3.23submit a report to the chairs and ranking minority members of the legislative committees 3.24with jurisdiction over health finance and policy. The report must describe the number and 3.25amount of grants awarded under this section and the uses made of grant money by grantees. 3Section 1. REVISOR AGW/ES 25-0243202/03/25