1.1 A bill for an act
1.2 relating to health facilities; prohibiting certain conditions for admission to or
1.3 continued residence in certain facilities; requiring review and approval of increases
1.4 in amounts charged by assisted living facilities; prohibiting termination or
1.5 nonrenewal of assisted living contracts on certain grounds; amending Minnesota
1.6 Statutes 2024, sections 144G.09, subdivision 2; 144G.19, by adding a subdivision;
1.7 144G.40, by adding a subdivision; 144G.52, by adding a subdivision; 144G.53;
1.8 245D.10, by adding a subdivision; proposing coding for new law in Minnesota
1.9 Statutes, chapters 144A; 144G.
1.10BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.11 Section 1. [144A.104] PROHIBITED CONDITION FOR ADMISSION OR
1.12CONTINUED RESIDENCE.
1.13 A nursing home is prohibited from requiring a current or prospective resident to have
1.14or obtain a guardian or conservator as a condition of admission to or continued residence
1.15in the nursing home.
1.16 Sec. 2. Minnesota Statutes 2024, section 144G.09, subdivision 2, is amended to read:
1.17 Subd. 2.Regulatory functions.(a) The commissioner shall:
1.18 (1) license, survey, and monitor without advance notice assisted living facilities in
1.19accordance with this chapter and rules;
1.20 (2) survey every provisional licensee within one year of the provisional license issuance
1.21date subject to the provisional licensee providing assisted living services to residents;
1.22 (3) survey assisted living facility licensees at least once every two years;
1.23 (4) investigate complaints of assisted living facilities;
1Sec. 2.
S2522-1 1st EngrossmentSF2522 REVISOR SGS
SENATE
STATE OF MINNESOTA
S.F. No. 2522NINETY-FOURTH SESSION
(SENATE AUTHORS: MANN, Mohamed and Maye Quade)
OFFICIAL STATUSD-PGDATE
Introduction and first reading76603/13/2025
Referred to Human Services
Comm report: Amended, No recommendation, re-referred to Housing and Homelessness Prevention03/20/2025
Author added Maye Quade 2.1 (5) issue correction orders and assess civil penalties under sections 144G.30 and 144G.31;
2.2 (6) take action as authorized in section 144G.20; and
2.3 (7) approve or disapprove proposed increases in amounts charged for housing or assisted
2.4living services under sections 144G.19, subdivision 5, and 144G.40, subdivision 4; and
2.5 (7) (8) take other action reasonably required to accomplish the purposes of this chapter.
2.6 (b) The commissioner shall review blueprints for all new facility construction and must
2.7approve the plans before construction may be commenced.
2.8 (c) The commissioner shall provide on-site review of the construction to ensure that all
2.9physical environment standards are met before the facility license is complete.
2.10 Sec. 3. Minnesota Statutes 2024, section 144G.19, is amended by adding a subdivision to
2.11read:
2.12 Subd. 5.Change of ownership; increase in amount charged for housing or
2.13services.(a) Following a change of ownership, the new licensee must honor the terms of
2.14an assisted living contract in effect at the time of the change of ownership until the contract
2.15expires. A new licensee that proposes to increase the amount charged for housing or assisted
2.16living services in an assisted living contract replacing a contract in effect at the time of the
2.17change of ownership must provide the commissioner with justification for and specific
2.18documentation supporting the proposed increase.
2.19 (b) The commissioner must review the justification and documentation provided under
2.20paragraph (a) and approve or disapprove the proposed increase. The commissioner may
2.21request from the new licensee additional documentation or information the commissioner
2.22deems necessary to conduct the review. An assisted living facility must not implement a
2.23proposed increase described in paragraph (a) unless the commissioner approves the proposed
2.24increase.
2.25 Sec. 4. Minnesota Statutes 2024, section 144G.40, is amended by adding a subdivision to
2.26read:
2.27 Subd. 4.Increase in amount charged for housing or services.(a) If an assisted living
2.28facility proposes to increase the amount charged for housing or assisted living services by
2.29an amount that exceeds the change in the Consumer Price Index for All Urban Consumers
2.30published by the federal Bureau of Labor Statistics, for the most recent 12-month period
2.31for which data is available, the assisted living facility must provide the commissioner with
2.32justification for and specific documentation supporting the proposed increase.
2Sec. 4.
S2522-1 1st EngrossmentSF2522 REVISOR SGS 3.1 (b) The documentation required under paragraph (a) must include:
3.2 (1) data on operational costs, including but not limited to the cost of staffing, utilities,
3.3maintenance, and other day-to-day expenses necessary to operate the facility;
3.4 (2) data on the proposed imposition of any new fees, but is not limited to a raw food
3.5fee, community fee, pharmacy choice or coordination fee, hospice choice or coordination
3.6fee, or activities fee;
3.7 (3) the facility's balance sheet, including projected revenues and expenses for the next
3.8fiscal year;
3.9 (4) data on costs related to compliance with new regulatory requirements, including but
3.10not limited to health and safety requirements;
3.11 (5) data on capital improvements to, upgrades to, or expansion of the facility, including
3.12but not limited to building renovations or new construction;
3.13 (6) a comparison of the facility's costs and fees and the costs and fees of similar facilities
3.14in the region where the facility is located;
3.15 (7) data on whether the facility's residents have increased needs or are requesting new
3.16amenities; and
3.17 (8) the percentage of revenue devoted to administrative costs and the percentage of
3.18revenue devoted to marketing costs.
3.19 (c) The commissioner must review the justification and documentation provided under
3.20paragraph (a) and approve or disapprove the proposed increase. The commissioner may
3.21request from the facility additional documentation or information the commissioner deems
3.22necessary to conduct the review. An assisted living facility must not implement a proposed
3.23increase described in paragraph (a) unless the commissioner approves the proposed increase.
3.24 (d) If the commissioner approves the proposed increase, approval must be conditioned
3.25on the facility maintaining or improving the quality of care it provides, including but not
3.26limited to hiring additional staff, improving staff training, updating medical equipment, or
3.27upgrading physical environment elements of the facility.
3.28 Sec. 5. [144G.505] PROHIBITED CONDITION OF ADMISSION OR CONTINUED
3.29RESIDENCE.
3.30 An assisted living facility is prohibited from requiring a current or prospective resident
3.31to have or obtain a guardian or conservator as a condition of admission to or continued
3.32residence in the assisted living facility.
3Sec. 5.
S2522-1 1st EngrossmentSF2522 REVISOR SGS 4.1 Sec. 6. Minnesota Statutes 2024, section 144G.52, is amended by adding a subdivision to
4.2read:
4.3 Subd. 5a.Impermissible ground for termination.A facility must not terminate an
4.4assisted living contract on the ground that the resident changes from using private funds to
4.5using public funds to pay for housing or services. This subdivision does not prohibit a
4.6facility from terminating an assisted living contract for nonpayment according to subdivision
4.73, or for a violation of the assisted living contract according to subdivision 4.
4.8 Sec. 7. Minnesota Statutes 2024, section 144G.53, is amended to read:
4.9 144G.53 NONRENEWAL OF HOUSING.
4.10 Subdivision 1.Notice or termination procedure.(a) If a facility decides to not renew
4.11a resident's housing under a contract, the facility must either (1) provide the resident with
4.1260 calendar days' notice of the nonrenewal and assistance with relocation planning, or (2)
4.13follow the termination procedure under section 144G.52.
4.14 (b) The notice must include the reason for the nonrenewal and contact information of
4.15the Office of Ombudsman for Long-Term Care and the Office of Ombudsman for Mental
4.16Health and Developmental Disabilities.
4.17 (c) A facility must:
4.18 (1) provide notice of the nonrenewal to the Office of Ombudsman for Long-Term Care;
4.19and
4.20 (2) for residents who receive home and community-based waiver services under chapter
4.21256S and section 256B.49, provide notice to the resident's case manager;.
4.22 Subd. 2.Prohibited ground for nonrenewal.A facility must not decline to renew a
4.23resident's housing under a contract on the ground that the resident changes from using private
4.24funds to using public funds to pay for housing. This subdivision does not prohibit a facility
4.25from terminating an assisted living contract for nonpayment according to section 144G.52,
4.26subdivision 3, or for a violation of the assisted living contract according to section 144G.52,
4.27subdivision 4.
4.28 Subd. 3.Requirements following notice.If a facility provides notice of nonrenewal
4.29according to subdivision 1, the facility must:
4.30 (3) (1) ensure a coordinated move to a safe location, as defined in section 144G.55,
4.31subdivision 2, that is appropriate for the resident;
4Sec. 7.
S2522-1 1st EngrossmentSF2522 REVISOR SGS 5.1 (4) (2) ensure a coordinated move to an appropriate service provider identified by the
5.2facility, if services are still needed and desired by the resident;
5.3 (5) (3) consult and cooperate with the resident, legal representative, designated
5.4representative, case manager for a resident who receives home and community-based waiver
5.5services under chapter 256S and section 256B.49, relevant health professionals, and any
5.6other persons of the resident's choosing to make arrangements to move the resident, including
5.7consideration of the resident's goals; and
5.8 (6) (4) prepare a written plan to prepare for the move.
5.9 Subd. 4.Right to move to location of resident's choosing or to use provider of
5.10resident's choosing.(d) A resident may decline to move to the location the facility identifies
5.11or to accept services from a service provider the facility identifies, and may instead choose
5.12to move to a location of the resident's choosing or receive services from a service provider
5.13of the resident's choosing within the timeline prescribed in the nonrenewal notice.
5.14 Sec. 8. Minnesota Statutes 2024, section 245D.10, is amended by adding a subdivision to
5.15read:
5.16 Subd. 1a.Prohibited condition of admission or continued residence.A license holder
5.17is prohibited from requiring a current or prospective resident to have or obtain a guardian
5.18or conservator as a condition of admission to or continued residence in the facility.
5Sec. 8.
S2522-1 1st EngrossmentSF2522 REVISOR SGS