1.1 A bill for an act
1.2 relating to human services; requiring a report related to direct support service rate
1.3 calculations.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. DIRECT SUPPORT SERVICE RATE CALCULATIONS.
1.6 (a) By March 15, 2027, the commissioner of human services must submit to the chairs
1.7and ranking minority members of the legislative committees with jurisdiction over human
1.8services policy and finance a report on any proposed collective bargaining agreement
1.9between the state and individual providers of direct support services in a covered program
1.10as defined under Minnesota Statutes, section 256B.0711. The report must include the
1.11information described in this section.
1.12 (b) The commissioner must include in the report an estimate of the reimbursement rates,
1.13enhanced rates, tiered rates, individual budgets, grants, and allocations that would result
1.14from an increase equal to the sum of:
1.15 (1) the cost to an employer of increasing the wages of all employees by an amount equal
1.16to the incremental increase in the wage floors;
1.17 (2) the cost to an employer of increasing paid time off by an amount equal to the
1.18incremental increase in any paid time off;
1.19 (3) the cost to an employer of adjusting the wages of any employee who works on a
1.20holiday by an amount equal to the incremental increase in any wage adjustment for work
1.21on holidays;
1Section 1.
25-03788 as introduced02/20/25 REVISOR AGW/VJ
SENATE
STATE OF MINNESOTA
S.F. No. 2053NINETY-FOURTH SESSION
(SENATE AUTHORS: FATEH)
OFFICIAL STATUSD-PGDATE
Introduction and first reading03/03/2025
Referred to Human Services 2.1 (4) the cost to an employer of providing all employees with an increase in benefits equal
2.2to the value of any other incremental increase in other benefits included in a proposed
2.3collective bargaining agreement; and
2.4 (5) the cost to an employer for all corresponding incremental increases in the employer's
2.5share of FICA taxes, Medicare taxes, state and federal unemployment taxes, worker
2.6compensation premiums, and retirement contributions, if any, attributable to costs increased
2.7under clauses (1) and (4).
2.8 (c) The commissioner must include in the report the rates and formulas used to determine
2.9the increases described in paragraph (b) for covered programs and for the community first
2.10services and supports agency-provider model.
2.11 (d) For the purposes of the calculations described in paragraphs (b) and (c), the
2.12commissioner must not assume, based on an employer, fiscal support entity, or fiscal
2.13management service already paying all or some direct support professionals the proposed
2.14minimum wage, providing the proposed minimum paid time off, or providing any other
2.15proposed benefit or portion of the proposed incremental increase in wages, paid time off,
2.16or other benefits, that:
2.17 (1) any employer, fiscal support entity, or fiscal management service will not be affected
2.18by the increases in wages and benefits in the proposed collective bargaining agreement; or
2.19 (2) any portion of employers, fiscal support entities, or fiscal management services will
2.20not be affected by the increases in wages and benefits in the proposed collective bargaining
2.21agreement.
2.22 (e) The commissioner must assume for the purposes of the calculations described in
2.23paragraphs (b) and (c) that every employer of an individual providing direct support services
2.24will receive a rate increase equal to the incremental increase in the wage floor and the
2.25incremental increase in other benefits proposed in the collective bargaining agreement as
2.26compared to the prior collective bargaining agreement. For the purposes of these calculations,
2.27the commissioner must not assume that any employer, fiscal support entity, or fiscal
2.28management service will absorb any incremental increase in costs attributable to any
2.29incremental increase described in the collective bargaining agreement.
2.30 (f) The commissioner of human services must include in the report an estimate of the
2.31total appropriation necessary to implement the increases calculated under paragraphs (b)
2.32and (c).
2Section 1.
25-03788 as introduced02/20/25 REVISOR AGW/VJ 3.1 (g) The commissioner of human services must include in the report the statutory changes
3.2necessary to implement the rates calculated under paragraphs (b) and (c).
3.3 (h) The commissioner may include in the report alternative estimates of the reimbursement
3.4rates, enhanced rates, tiered rates, individual budgets, grants, and allocations that the
3.5commissioner believes are sufficient to implement the proposed collective bargaining
3.6agreement and an alternative estimate of the appropriation sufficient to implement the
3.7alternative rates, budgets, grants, and allocations. The commissioner may also include in
3.8the report the commissioner's recommendation with respect to implementing the proposed
3.9collective bargaining agreement and the reimbursement rates, enhanced rates, tiered rates,
3.10individual budgets, grants, and allocations sufficient to do so.
3Section 1.
25-03788 as introduced02/20/25 REVISOR AGW/VJ