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HF4212 • 2026

Access to certain information allowed, references to chapter 144D removed, documentation on use of patient restraints required, and change of ownership provisions clarified.

Access to certain information allowed, references to chapter 144D removed, documentation on use of patient restraints required, and change of ownership provisions clarified.

Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Virnig
Last action
2026-03-16
Official status
Motion to recall and re-refer, motion prevailed Human Services Finance and Policy
Effective date
Not listed

Plain English Breakdown

The plain English breakdown is still being put together. The official documents below are already here.

Bill History

  1. 2026-03-16 House

    Motion to recall and re-refer, motion prevailed Human Services Finance and Policy

  2. 2026-03-12 House

    Introduction and first reading, referred to Health Finance and Policy

Official Summary Text

Access to certain information allowed, references to chapter 144D removed, documentation on use of patient restraints required, and change of ownership provisions clarified.

Current Bill Text

Read the full stored bill text
A bill for an act

relating to health; allowing access to certain information; removing references to

chapter 144D; requiring documentation on use of patient restraints; clarifying

change of ownership provisions; amending Minnesota Statutes 2024, sections

144.56, subdivision 2b; 144.586, subdivision 2; 144.6502, subdivision 1; 144A.161,

subdivision 1a; 144A.472, subdivision 5; 144A.72, subdivision 2; 144G.08, by

adding subdivisions; 144G.19, by adding a subdivision; 144G.31, subdivision 6;

157.17, subdivisions 2, 5; 295.50, subdivision 4; Minnesota Statutes 2025

Supplement, sections 144A.474, subdivision 11; 295.50, subdivision 9b; proposing

coding for new law in Minnesota Statutes, chapter 144G.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

ARTICLE 1

ACCESS TO CERTAIN RECORDS

Section 1.

Minnesota Statutes 2024, section 144A.72, subdivision 2, is amended to read:

Subd. 2.

Penalties.

new text begin
(a)
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Failure to comply with this section shall subject the supplemental

nursing services agency to revocation or nonrenewal of its registration. Violations of section

144A.74
are subject to a fine equal to 200 percent of the amount billed or received in excess

of the maximum permitted under that section.

new text begin

(b) The commissioner may request and must be given access to relevant information,

records, incident reports, or other documents in the possession of a facility if they are

considered necessary by the commissioner for verification purposes. The commissioner

may bring enforcement action.

new text end

ARTICLE 2

UPDATING REFERENCES

Section 1.

Minnesota Statutes 2024, section 144.56, subdivision 2b, is amended to read:

Subd. 2b.

Boarding care homes.

The commissioner shall not adopt or enforce any rule

that limits:

(1) a certified boarding care home from providing nursing services in accordance with

the home's Medicaid certification; or

(2) a noncertified boarding care home
deleted text begin
registered under chapter 144D
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from providing

home care services in accordance with the home's registration.

Sec. 2.

Minnesota Statutes 2024, section 144.6502, subdivision 1, is amended to read:

Subdivision 1.

Definitions.

(a) For the purposes of this section, the terms defined in this

subdivision have the meanings given.

(b) "Commissioner" means the commissioner of health.

(c) "Department" means the Department of Health.

(d) "Electronic monitoring" means the placement and use of an electronic monitoring

device in the resident's room or private living unit in accordance with this section.

(e) "Electronic monitoring device" means a camera or other device that captures, records,

or broadcasts audio, video, or both, that is placed in a resident's room or private living unit

and is used to monitor the resident or activities in the room or private living unit.

(f) "Facility" means a facility that is:

(1) licensed as a nursing home under chapter 144A;

(2) licensed as a boarding care home under sections
144.50
to
144.56
;
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or
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(3) until August 1, 2021, a housing with services establishment registered under chapter

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144D

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that is either subject to chapter

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144G

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or has a disclosed special unit under section

325F.72
; or

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(4) on or after August 1, 2021,
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(3) licensed as
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an assisted living facility
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under chapter

144G
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.

(g) "Resident" means a person 18 years of age or older residing in a facility.

(h) "Resident representative" means one of the following in the order of priority listed,

to the extent the person may reasonably be identified and located:

(1) a court-appointed guardian;

(2) a health care agent as defined in section
145C.01, subdivision 2
; or

(3) a person who is not an agent of a facility or of a home care provider designated in

writing by the resident and maintained in the resident's records on file with the facility.

Sec. 3.

Minnesota Statutes 2024, section 144A.161, subdivision 1a, is amended to read:

Subd. 1a.

Scope.

Where a facility is undertaking a closure, reduction, or change in

operations,
deleted text begin
or where a housing with services unit registered under chapter 144D is closed

because the space that it occupies is being replaced by a nursing facility bed that is being

reactivated from layaway status,
deleted text end
the facility and the county social services agency must

comply with the requirements of this section.

Sec. 4.

Minnesota Statutes 2024, section 157.17, subdivision 2, is amended to read:

Subd. 2.

Registration.

At the time of licensure or license renewal, a boarding and lodging

establishment or a lodging establishment that provides supportive services or health

supervision services must be registered with the commissioner, and must register annually

thereafter. The registration must include the name, address, and telephone number of the

establishment, the name of the operator, the types of services that are being provided, a

description of the residents being served, the type and qualifications of staff in the facility,

and other information that is necessary to identify the needs of the residents and the types

of services that are being provided. The commissioner shall develop and furnish to the

boarding and lodging establishment or lodging establishment the necessary form for

submitting the registration.

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Housing with services establishments registered under chapter 144D shall be considered

registered under this section for all purposes except that:

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(1) the establishments shall operate under the requirements of chapter 144D; and

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(2) the criminal background check requirements of sections
299C.66
to
299C.71
apply.

The criminal background check requirements of section
144.057
apply only to personnel

providing home care services under sections
144A.43
to
144A.47
and personnel providing

hospice care under sections
144A.75
to
144A.755
.

deleted text end

Sec. 5.

Minnesota Statutes 2024, section 157.17, subdivision 5, is amended to read:

Subd. 5.

Services that may not be provided in a boarding and lodging establishment

or lodging establishment.

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Except those facilities registered under chapter 144D,
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A boarding

and lodging establishment or lodging establishment may not admit or retain individuals

who:

(1) would require assistance from establishment staff because of the following needs:

bowel incontinence, catheter care, use of injectable or parenteral medications, wound care,

or dressing changes or irrigations of any kind; or

(2) require a level of care and supervision beyond supportive services or health

supervision services.

Sec. 6.

Minnesota Statutes 2024, section 295.50, subdivision 4, is amended to read:

Subd. 4.

Health care provider.

(a) "Health care provider" means:

(1) a person whose health care occupation is regulated or required to be regulated by

the state of Minnesota furnishing any or all of the following goods or services directly to a

patient or consumer: medical, surgical, optical, visual, dental, hearing, nursing services,

drugs, laboratory, diagnostic or therapeutic services;

(2) a person who provides goods and services not listed in clause (1) that qualify for

reimbursement under the medical assistance program provided under chapter 256B;

(3) a staff model health plan company;

(4) an ambulance service required to be licensed;

(5) a person who sells or repairs hearing aids and related equipment or prescription

eyewear; or

(6) a person providing patient services, who does not otherwise meet the definition of

health care provider and is not specifically excluded in clause (b), who employs or contracts

with a health care provider as defined in clauses (1) to (5) to perform, supervise, otherwise

oversee, or consult with regarding patient services.

(b) Health care provider does not include:

(1) hospitals; medical supplies distributors, except as specified under paragraph (a),

clause (5); nursing homes licensed under chapter 144A or licensed in any other jurisdiction;

wholesale drug distributors; pharmacies; surgical centers; bus and taxicab transportation,

or any other providers of transportation services other than ambulance services required to

be licensed; supervised living facilities for persons with developmental disabilities, licensed

under Minnesota Rules, parts
4665.0100
to
4665.9900
;
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housing with services establishments

required to be registered under chapter 144D;
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board and lodging establishments providing

only custodial services that are licensed under chapter 157 and registered under section

157.17
to provide supportive services or health supervision services; adult foster homes as

defined in Minnesota Rules, part
9555.5105
; day training and habilitation services for adults

with developmental disabilities as defined in section
252.41, subdivision 3
; boarding care

homes, as defined in Minnesota Rules, part
4655.0100
; and adult day care centers as defined

in Minnesota Rules, part
9555.9600
;

(2) home health agencies as defined in Minnesota Rules, part
9505.0175
, subpart 15; a

person providing personal care
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assistance
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services and supervision of personal care
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assistance
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services as defined in
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Minnesota Rules, part
9505.0335
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section 256B.0625, subdivision

19a
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; a person providing home care nursing services as defined in Minnesota Rules, part

9505.0360
; and home care providers required to be licensed under chapter 144A for home

care services provided under chapter 144A;

(3) a person who employs health care providers solely for the purpose of providing

patient services to its employees;

(4) an educational institution that employs health care providers solely for the purpose

of providing patient services to its students if the institution does not receive fee for service

payments or payments for extended coverage; and

(5) a person who receives all payments for patient services from health care providers,

surgical centers, or hospitals for goods and services that are taxable to the paying health

care providers, surgical centers, or hospitals, as provided under section
295.53, subdivision

1
, paragraph (b), clause (3) or (4), or from a source of funds that is excluded or exempt from

tax under sections
295.50
to
295.59
.

Sec. 7.

Minnesota Statutes 2025 Supplement, section 295.50, subdivision 9b, is amended

to read:

Subd. 9b.

Patient services.

(a) "Patient services" means inpatient and outpatient services

and other goods and services provided by hospitals, surgical centers, or health care providers.

They include the following health care goods and services provided to a patient or consumer:

(1) bed and board;

(2) nursing services and other related services;

(3) use of hospitals, surgical centers, or health care provider facilities;

(4) medical social services;

(5) drugs, biologicals, supplies, appliances, and equipment;

(6) other diagnostic or therapeutic items or services;

(7) medical or surgical services;

(8) items and services furnished to ambulatory patients not requiring emergency care;

and

(9) emergency services.

(b) "Patient services" does not include:

(1) services provided to nursing homes licensed under chapter 144A;

(2) examinations for purposes of utilization reviews, insurance claims or eligibility,

litigation, and employment, including reviews of medical records for those purposes;

(3) services provided to and by community residential mental health facilities licensed

under section
245I.23
or Minnesota Rules, parts
9520.0500
to
9520.0670
, and to and by

residential treatment programs for children with a serious mental illness licensed or certified

under chapter 245A;

(4) services provided under the following programs: day treatment services as defined

in section
245.462, subdivision 8
; assertive community treatment as described in section

256B.0622
; adult rehabilitative mental health services as described in section
256B.0623
;

crisis response services as described in section
256B.0624
; and children's therapeutic services

and supports as described in section
256B.0943
;

(5) services provided to and by community mental health centers as defined in section

245.62, subdivision 2
;

(6) services provided to and by assisted living programs and congregate housing

programs;

(7) hospice care services;

(8) home and community-based waivered services under chapter 256S and sections

256B.49
and
256B.501
;

(9) targeted case management services under sections
256B.0621
;
256B.0625,

subdivisions 20, 20a, 33, and 44
; and
256B.094
; and

(10) services provided to the following: supervised living facilities for persons with

developmental disabilities licensed under Minnesota Rules, parts
4665.0100
to
4665.9900
;
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housing with services establishments required to be registered under chapter
deleted text end
deleted text begin
144D
deleted text end
deleted text begin
;
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board

and lodging establishments providing only custodial services that are licensed under chapter

157 and registered under section
157.17
to provide supportive services or health supervision

services; adult foster homes as defined in Minnesota Rules, part
9555.5105
; day training

and habilitation services for adults with developmental disabilities as defined in section

252.41, subdivision 3
; boarding care homes as defined in Minnesota Rules, part
4655.0100
;

adult day care services as defined in section
245A.02, subdivision 2a
; and home health

agencies as defined in Minnesota Rules, part
9505.0175
, subpart 15, or licensed under

chapter 144A.

ARTICLE 3

USE OF PATIENT RESTRAINTS

Section 1.

Minnesota Statutes 2024, section 144.586, subdivision 2, is amended to read:

Subd. 2.

Postacute care discharge planning.

new text begin
(a)
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Each hospital, including hospitals

designated as critical access hospitals, must comply with the federal hospital requirements

for discharge planning
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,
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which include:

(1) conducting a discharge planning evaluation that includes an evaluation of:

(i) the likelihood of the patient needing posthospital services and of the availability of

those services; and

(ii) the patient's capacity for self-care or the possibility of the patient being cared for in

the environment from which the patient entered the hospital;

(2) timely completion of the discharge planning evaluation under clause (1) by hospital

personnel so that appropriate arrangements for posthospital care are made before discharge,

and to avoid unnecessary delays in discharge;

(3) including the discharge planning evaluation under clause (1) in the patient's medical

record for use in establishing an appropriate discharge plan. The hospital must discuss the

results of the evaluation with the patient or individual acting on behalf of the patient. The

hospital must reassess the patient's discharge plan if the hospital determines that there are

factors that may affect continuing care needs or the appropriateness of the discharge plan;

and

(4) providing counseling, as needed, for the patient and family members or interested

persons to prepare them for posthospital care. The hospital must provide a list of available

Medicare-eligible home care agencies or skilled nursing facilities that serve the patient's

geographic area, or other area requested by the patient if such care or placement is indicated

and appropriate. Once the patient has designated their preferred providers, the hospital will

assist the patient in securing care covered by their health plan or within the care network.

The hospital must not specify or otherwise limit the qualified providers that are available

to the patient. The hospital must document in the patient's record that the list was presented

to the patient or to the individual acting on the patient's behalf.

new text begin

(b) Each hospital, including hospitals designated as critical access hospitals, must

document in the patient's discharge plan instances when a restraint was used to manage the

patient's behavior prior to discharge, including the type of restraint, duration, and frequency.

In cases where the patient is transferred to a licensed or registered provider, the hospital

must notify the provider of the type, duration, and frequency of the restraint. "Restraint"

has the meaning given in section 144G.08, subdivision 61a.

new text end

Sec. 2.

Minnesota Statutes 2024, section 144G.08, is amended by adding a subdivision to

read:

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Subd. 26a.

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Imminent risk.

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"Imminent risk" means an immediate and impending threat

to the health, safety, or rights of an individual.

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EFFECTIVE DATE.

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This section is effective January 1, 2027.

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Sec. 3.

Minnesota Statutes 2024, section 144G.08, is amended by adding a subdivision to

read:

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Subd. 54a.

new text end

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Prone restraint.

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"Prone restraint" means the use of manual restraint that

places a resident in a face-down position. Prone restraint does not include the brief physical

holding of a resident who, during an emergency use of a manual restraint, rolls into a prone

position and as quickly as possible the resident is restored to a standing, sitting, or side-lying

position.

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EFFECTIVE DATE.

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This section is effective January 1, 2027.

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Sec. 4.

Minnesota Statutes 2024, section 144G.08, is amended by adding a subdivision to

read:

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Subd. 61a.

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Restraint.

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"Restraint" means:

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(1) chemical restraint, as defined in section 245D.02, subdivision 3b;

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(2) manual restraint, as defined in section 245D.02, subdivision 15a;

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(3) mechanical restraint, as defined in section 245D.02, subdivision 15b; or

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(4) any other form of restraint that limits the free and normal movement of body or

limbs.

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EFFECTIVE DATE.

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This section is effective January 1, 2027.

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Sec. 5.

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[144G.65] TRAINING IN EMERGENCY MANUAL RESTRAINTS.

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Subdivision 1.

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Training.

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A licensee must ensure that staff who are authorized to apply

an emergency use of a manual restraint complete a minimum of four hours of training from

a qualified individual prior to assuming these responsibilities. Training must include:

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(1) types of behaviors, de-escalation techniques and their value;

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(2) principles of person-centered planning and service delivery as identified in section

245D.07, subdivision 1a, paragraph (b);

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(3) what constitutes the use of a restraint;

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(4) staff responsibilities related to: (i) prohibited procedures under section 144G.85; (ii)

why prohibited procedures are not effective for reducing or eliminating symptoms or

interfering behavior; and (iii) why prohibited procedures are not safe;

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(5) the situations when staff must contact 911 services in response to an imminent risk

of harm to the resident or others; and

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(6) strategies for respecting and supporting each resident's cultural preferences.

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Subd. 2.

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Annual refresher training.

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The licensee must ensure that staff who apply an

emergency use of a manual restraint complete two hours of refresher training on an annual

basis covering each of the training areas listed in subdivision 1.

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Subd. 3.

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Implementation.

new text end

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The assisted living facility must implement all orientation

and training topics covered in this section.

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Subd. 4.

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Verification and documentation of orientation and training.

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For staff who

are authorized to apply an emergency use of a manual restraint, the assisted living facility

must retain evidence in the employee record of each staff person having completed the

orientation and training under this section.

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Subd. 5.

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Exemption.

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This section does not apply to licensees who have a policy

prohibiting the use of restraints.

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EFFECTIVE DATE.

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This section is effective January 1, 2027.

new text end

Sec. 6.

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[144G.85] USE OF RESTRAINTS.

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Subdivision 1.

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Use of restraints prohibited.

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Restraints are prohibited except as described

in subdivisions 2 and 4.

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Subd. 2.

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Exception.

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Emergency use of a manual restraint is permitted only when

immediate intervention is needed to protect the resident or others from imminent risk of

physical harm and is the least restrictive intervention to address the risk. The restraint must

be imposed for the least amount of time necessary and removed when there is no longer

imminent risk of physical harm to the resident or other persons in the facility. The use of

restraint under this subdivision must:

new text end

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(1) take into consideration the rights, health, and welfare of the resident;

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(2) not apply pressure to the back or chest while a resident is in a prone, supine, or

side-lying position; and

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(3) allow the resident to be free from prone restraint.

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Subd. 3.

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Documentation and notification.

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(a) The resident's legal representative must

be notified within 12 hours of any use of an emergency use of a manual restraint and of the

circumstances that prompted the use. Notification and the use of an emergency use of a

manual restraint must be documented. If known, the advanced practice registered nurse,

physician, or physician assistant must be notified within 12 hours of any use of an emergency

use of a manual restraint.

new text end

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(b) On a form developed by the commissioner, the facility must notify the commissioner

and the ombudsman for long-term care within seven calendar days of the use of any

emergency use of a manual restraint, including when any restraint is first applied or ordered.

The commissioner will monitor reported uses to detect overuse or unauthorized,

inappropriate, or ineffective use of the restraint. The form must include:

new text end

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(1) the name and date of birth of the resident;

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(2) the date and time of the use of the restraint;

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(3) the names of staff and any residents who were involved in the incident leading up

to the emergency use of a manual restraint;

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(4) a description of the incident, including the length of time the restraint was applied

and who was present before and during the incident leading up to the emergency use of a

manual restraint;

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(5) a description of what less restrictive alternative measures were attempted to de-escalate

the incident and maintain safety that identifies when, how, and for how long the alternative

measures were attempted before the emergency use of a manual restraint was implemented;

new text end

new text begin

(6) a description of the mental, physical, and emotional condition of the resident who

was restrained and of other persons involved in the incident leading up to, during, and

following the emergency use of a manual restraint;

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(7) whether there was any injury to the resident who was restrained or other persons

involved in the incident, including staff, before or as a result of the emergency use of a

manual restraint; and

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(8) whether there was a debriefing following the incident with the staff, and, if not

contraindicated, with the resident who was restrained and other persons who were involved

in or who witnessed the emergency use of a manual restraint, and the outcome of the

debriefing. If the debriefing was not conducted at the time the incident report was made,

the form should identify whether a debriefing is planned and a plan for mitigating use of

restraints in the future.

new text end

new text begin

(c) A copy of the form submitted under paragraph (b) must be maintained in the resident's

record.

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(d) A copy of the form submitted under paragraph (b) must be sent to the resident's

waiver case manager within seven calendar days of the use of emergency use of manual

restraints. Any use of emergency use of manual restraints on people served under section

256B.49 and chapter 256S must be documented by the case manager in the resident's support

plan, as defined in sections 256B.49, subdivision 15, and 256S.10.

new text end

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(e) The use of restraints by law enforcement officers or other emergency personnel acting

in a licensed capacity does not require the facility to comply with the requirements of this

subdivision.

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Subd. 4.

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Ordered treatment.

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Any use of a restraint, other than the use of an emergency

use of a manual restraint to address an imminent risk, must be the least restrictive option

and comply with the requirements for an ordered treatment under section 144G.72.

new text end

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EFFECTIVE DATE.

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This section is effective January 1, 2027.

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ARTICLE 4

CHANGE OF OWNERSHIP

Section 1.

Minnesota Statutes 2024, section 144A.472, subdivision 5, is amended to read:

Subd. 5.

Changes in ownership.

(a) A home care license issued by the commissioner

may not be transferred to another party. Before acquiring ownership of or a controlling

interest in a home care provider business, a prospective owner must apply for a new license.

A change of ownership is a transfer of operational control of the home care provider business

and includes:

(1) transfer of the business to a different or new corporation;

(2) in the case of a partnership, the dissolution or termination of the partnership under

chapter 323A, with the business continuing by a successor partnership or other entity;

(3) relinquishment of control of the provider to another party, including to a contract

management firm that is not under the control of the owner of the business' assets;

(4) transfer of the business by a sole proprietor to another party or entity; or

(5) transfer of ownership or control of 50 percent or more of the controlling interest of

a home care provider business not covered by clauses (1) to (4).

(b) An employee who was employed by the previous owner of the home care provider

business prior to the effective date of a change in ownership under paragraph (a), and who

will be employed by the new owner in the same or a similar capacity, shall be treated as if

no change in employer occurred, with respect to orientation, training, tuberculosis testing,

background studies, and competency testing and training on the policies identified in

subdivision 1, clause (14), and subdivision 2, if applicable.

(c) Notwithstanding paragraph (b), a new owner of a home care provider business must

ensure that employees of the provider receive and complete training and testing on any

provisions of policies that differ from those of the previous owner within 90 days after the

date of the change in ownership.

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(d) After a change of ownership, the new licensee is responsible for any outstanding

fines and any fines assessed following the effective date of the change of ownership.

Additionally, the new licensee is responsible for bringing the facility into compliance with

all existing ordered, imposed, or agreed-upon corrections and conditions.

new text end

Sec. 2.

Minnesota Statutes 2025 Supplement, section 144A.474, subdivision 11, is amended

to read:

Subd. 11.

Fines.

(a) Fines and enforcement actions under this subdivision may be assessed

based on the level and scope of the violations described in paragraph (b) and imposed

immediately with no opportunity to correct the violation first as follows:

(1) Level 1, no fines or enforcement;

(2) Level 2, a fine of $500 per violation, in addition to any of the enforcement

mechanisms authorized in section
144A.475
;

(3) Level 3, a fine of $1,000 per incident, in addition to any of the enforcement

mechanisms authorized in section
144A.475
;

(4) Level 4, a fine of $3,000 per incident, in addition to any of the enforcement

mechanisms authorized in section
144A.475
;

(5) Level 5, a fine of $5,000 per violation, in addition to any enforcement mechanism

authorized in section
144A.475
; and

(6) for maltreatment violations for which the licensee was determined to be responsible

for the maltreatment under section
626.557, subdivision 9c
, paragraph (c), a fine of $1,000.

A fine of $5,000 may be imposed if the commissioner determines the licensee is responsible

for maltreatment consisting of sexual assault, death, or abuse resulting in serious injury.

The fines in clauses (1) to (5) are increased and immediate fine imposition is authorized

for both surveys and investigations conducted.

When a fine is assessed against a facility for substantiated maltreatment, the commissioner

shall not also impose an immediate fine under this chapter for the same circumstance.

(b) Correction orders for violations are categorized by both level and scope and fines

shall be assessed as follows:

(1) level of violation:

(i) Level 1 is a violation that will cause only minimal impact on the client and does not

affect health or safety;

(ii) Level 2 is a violation that did not harm a client's health or safety but had the potential

to have harmed a client's health or safety, but was not likely to cause serious injury,

impairment, or death;

(iii) Level 3 is a violation that harmed a client's health or safety, or a violation that had

the potential to cause more than minimal harm to the client;

(iv) Level 4 is a violation that harmed a client's health or safety, not including serious

injury or death, or a violation that was likely to lead to serious injury or death; and

(v) Level 5 is a violation that results in serious injury or death; and

(2) scope of violation:

(i) isolated, when one or a limited number of clients are affected or one or a limited

number of staff are involved or the situation has occurred only occasionally;

(ii) pattern, when more than a limited number of clients are affected, more than a limited

number of staff are involved, or the situation has occurred repeatedly but is not found to be

pervasive; and

(iii) widespread, when problems are pervasive or represent a systemic failure that has

affected or has the potential to affect a large portion or all of the clients.

(c) If the commissioner finds that the applicant or a home care provider has not corrected

violations by the date specified in the correction order or conditional license resulting from

a survey or complaint investigation, the commissioner shall provide a notice of

noncompliance with a correction order by email to the applicant's or provider's last known

email address. The noncompliance notice must list the violations not corrected.

(d) For every violation identified by the commissioner, the commissioner shall issue an

immediate fine pursuant to paragraph (a). The license holder must still correct the violation

in the time specified. The issuance of an immediate fine can occur in addition to any

enforcement mechanism authorized under section
144A.475
. The immediate fine may be

appealed as allowed under this subdivision.

(e) The license holder must pay the fines assessed on or before the payment date specified.

If the license holder fails to fully comply with the order, the commissioner may issue a

second fine or suspend the license until the license holder complies by paying the fine. A

timely appeal shall stay payment of the fine until the commissioner issues a final order.

(f) A license holder shall promptly notify the commissioner in writing when a violation

specified in the order is corrected. If upon reinspection the commissioner determines that

a violation has not been corrected as indicated by the order, the commissioner may issue a

second fine. The commissioner shall notify the license holder by mail to the last known

address in the licensing record that a second fine has been assessed. The license holder may

appeal the second fine as provided under this subdivision.

(g) A home care provider that has been assessed a fine under this subdivision has a right

to a reconsideration or a hearing under this section and chapter 14.

(h) When a fine has been assessed, the license holder may not avoid payment by closing
deleted text begin
,

selling, or otherwise transferring the licensed program to a third party
deleted text end
new text begin
the license
new text end
. In such

an event, the license holder shall be liable for payment of the fine.
new text begin
In the event of a change

of ownership, the new licensee is responsible for any outstanding fines and any fines assessed

following the effective date of the change of ownership regardless of the date of the violation.
new text end

(i) In addition to any fine imposed under this section, the commissioner may assess a

penalty amount based on costs related to an investigation that results in a final order assessing

a fine or other enforcement action authorized by this chapter.

(j) Fines collected under paragraph (a) shall be deposited in a dedicated special revenue

account. On an annual basis, the balance in the special revenue account shall be appropriated

to the commissioner to implement the recommendations of the advisory council established

in section
144A.4799
. The commissioner must publish on the department's website an annual

report on the fines assessed and collected, and how the appropriated money was allocated.

Sec. 3.

Minnesota Statutes 2024, section 144G.19, is amended by adding a subdivision to

read:

new text begin

Subd. 6.

new text end

new text begin

Correction orders and fines.

new text end

new text begin

After a change of ownership, the new licensee

is responsible for any outstanding fines and any fines assessed following the effective date

of the change of ownership regardless of the date of the violation. Additionally, the new

licensee is responsible for bringing the facility into compliance with all existing ordered,

imposed or agreed-upon corrections and conditions.

new text end

Sec. 4.

Minnesota Statutes 2024, section 144G.31, subdivision 6, is amended to read:

Subd. 6.

Payment of fines required.

When a fine has been assessed, the licensee may

not avoid payment by closing
deleted text begin
, selling, or otherwise transferring the license to a third party
deleted text end
new text begin

the license
new text end
. In such an event, the licensee shall be liable for payment of the fine.
new text begin
In the event

of a change of ownership, the new licensee is responsible for any outstanding fines and any

fines assessed following the effective date of the change of ownership regardless of the date

of the violation.
new text end