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HF4389 • 2026

Nonprofit limited liability companies allowed to apply for a license to be a child-placing agency; child care background study timing modified; and foster care, child placement, and child maltreatment provisions modified.

Nonprofit limited liability companies allowed to apply for a license to be a child-placing agency; child care background study timing modified; and foster care, child placement, and child maltreatment provisions modified.

Children
Passed Legislature

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

Sponsor
Lee, X.
Last action
2026-04-07
Official status
Committee report, to adopt as amended
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. 2026-04-07 House

    Committee report, to adopt as amended

  2. 2026-03-16 House

    Introduction and first reading, referred to Children and Families Finance and Policy

Official Summary Text

Nonprofit limited liability companies allowed to apply for a license to be a child-placing agency; child care background study timing modified; and foster care, child placement, and child maltreatment provisions modified.

Current Bill Text

Read the full stored bill text
A bill for an act

relating to children; allowing nonprofit limited liability companies to apply for a

license to be a child-placing agency; modifying the timing for a child care

background study; modifying provisions on foster care, child placement, and child

maltreatment; amending Minnesota Statutes 2024, sections 142B.10, subdivision

18; 245C.04, subdivision 1; 259.83, subdivision 1; 260.67, subdivision 1; 260C.190,

subdivision 1; 260C.212, subdivision 4a.

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

Section 1.

Minnesota Statutes 2024, section 142B.10, subdivision 18, is amended to read:

Subd. 18.

Adoption agency; additional requirements.

In addition to the other

requirements of this section, an individual or organization applying for a license to place

children for adoption must:

(1) incorporate as a nonprofit corporation under chapter 317A
new text begin
or a nonprofit limited

liability company under chapter 322C
new text end
;

(2) file with the application for licensure a copy of the disclosure form required under

section
259.37, subdivision 2
;

(3) provide evidence that a bond has been obtained and will be continuously maintained

throughout the entire operating period of the agency, to cover the cost of transfer of records

to and storage of records by the agency which has agreed, according to rule established by

the commissioner, to receive the applicant agency's records if the applicant agency voluntarily

or involuntarily ceases operation and fails to provide for proper transfer of the records. The

bond must be made in favor of the agency which has agreed to receive the records; and

(4) submit a financial review completed by an accountant to the commissioner each year

the license is renewed as required under section
142B.05, subdivision 1
.

Sec. 2.

Minnesota Statutes 2024, section 245C.04, subdivision 1, is amended to read:

Subdivision 1.

Licensed programs; other child care programs.

(a) The commissioner

shall conduct a background study of an individual required to be studied under section

245C.03, subdivision 1
, at least upon application for initial license for all license types.

(b) The commissioner shall conduct a background study of an individual required to be

studied under section
245C.03
, subdivision 1, including a child care background study

subject as defined in section
245C.02, subdivision 6a
, in a family child care program, licensed

child care center, certified license-exempt child care center, or legal nonlicensed child care

provider, on a schedule determined by the commissioner. Except as provided in section

245C.05, subdivision 5a
, a child care background study must include submission of

fingerprints for a national criminal history record check and a review of the information

under section
245C.08
. A background study for a child care program must be repeated

within five years from the most recent study conducted under this paragraph.

(c)
deleted text begin
At reauthorization or
deleted text end
When a new background study is needed under section
142E.16,

subdivision 2
, for a legal nonlicensed child care provider authorized under chapter 142E:

(1) for a background study affiliated with a legal nonlicensed child care provider, the

individual shall provide information required under section
245C.05, subdivision 1
,

paragraphs (a), (b), and (d), to the commissioner and be fingerprinted and photographed

under section
245C.05, subdivision 5
; and

(2) the commissioner shall verify the information received under clause (1) and submit

the request in NETStudy 2.0 to complete the background study.

(d) At reapplication for a family child care license:

(1) for a background study affiliated with a licensed family child care center, the

individual shall provide information required under section
245C.05, subdivision 1
,

paragraphs (a), (b), and (d), to the county agency, and be fingerprinted and photographed

under section
245C.05, subdivision 5
;

(2) the county agency shall verify the information received under clause (1) and forward

the information to the commissioner and submit the request in NETStudy 2.0 to complete

the background study; and

(3) the background study conducted by the commissioner under this paragraph must

include a review of the information required under section
245C.08
.

(e) The commissioner is not required to conduct a study of an individual at the time of

reapplication for a license if the individual's background study was completed by the

commissioner of human services and the following conditions are met:

(1) a study of the individual was conducted either at the time of initial licensure or when

the individual became affiliated with the license holder;

(2) the individual has been continuously affiliated with the license holder since the last

study was conducted; and

(3) the last study of the individual was conducted on or after October 1, 1995.

(f) The commissioner of human services shall conduct a background study of an

individual specified under section
245C.03, subdivision 1
, paragraph (a), clauses (2) to (6),

who is newly affiliated with a child foster family setting license holder:

(1) the county or private agency shall collect and forward to the commissioner the

information required under section
245C.05, subdivisions 1
and 5, when the child foster

family setting applicant or license holder resides in the home where child foster care services

are provided; and

(2) the background study conducted by the commissioner of human services under this

paragraph must include a review of the information required under section
245C.08,

subdivisions 1
, 3, and 4.

(g) The commissioner shall conduct a background study of an individual specified under

section
245C.03, subdivision 1
, paragraph (a), clauses (2) to (6), who is newly affiliated

with an adult foster care or family adult day services and with a family child care license

holder or a legal nonlicensed child care provider authorized under chapter 142E and:

(1) except as provided in section
245C.05, subdivision 5a
, the county shall collect and

forward to the commissioner the information required under section
245C.05, subdivision

1
, paragraphs (a) and (b), and subdivision 5, paragraph (b), for background studies conducted

by the commissioner for all family adult day services, for adult foster care when the adult

foster care license holder resides in the adult foster care residence, and for family child care

and legal nonlicensed child care authorized under chapter 142E;

(2) the license holder shall collect and forward to the commissioner the information

required under section
245C.05, subdivisions 1
, paragraphs (a) and (b); and 5, paragraphs

(a) and (b), for background studies conducted by the commissioner for adult foster care

when the license holder does not reside in the adult foster care residence; and

(3) the background study conducted by the commissioner under this paragraph must

include a review of the information required under section
245C.08, subdivision 1
, paragraph

(a), and subdivisions 3 and 4.

(h) Applicants for licensure, license holders, and other entities as provided in this chapter

must submit completed background study requests to the commissioner using the electronic

system known as NETStudy before individuals specified in section
245C.03, subdivision

1
, begin positions allowing direct contact in any licensed program.

(i) For an individual who is not on the entity's active roster, the entity must initiate a

new background study through NETStudy when:

(1) an individual returns to a position requiring a background study following an absence

of 120 or more consecutive days; or

(2) a program that discontinued providing licensed direct contact services for 120 or

more consecutive days begins to provide direct contact licensed services again.

The license holder shall maintain a copy of the notification provided to the commissioner

under this paragraph in the program's files. If the individual's disqualification was previously

set aside for the license holder's program and the new background study results in no new

information that indicates the individual may pose a risk of harm to persons receiving

services from the license holder, the previous set-aside shall remain in effect.

(j) For purposes of this section, a physician licensed under chapter 147, advanced practice

registered nurse licensed under chapter 148, or physician assistant licensed under chapter

147A is considered to be continuously affiliated upon the license holder's receipt from the

commissioner of health or human services of the physician's, advanced practice registered

nurse's, or physician assistant's background study results.

(k) For purposes of family child care, a substitute caregiver must receive repeat

background studies at the time of each license renewal.

(l) A repeat background study at the time of license renewal is not required if the family

child care substitute caregiver's background study was completed by the commissioner on

or after October 1, 2017, and the substitute caregiver is on the license holder's active roster

in NETStudy 2.0.

(m) Before and after school programs authorized under chapter 142E, are exempt from

the background study requirements under section
123B.03
, for an employee for whom a

background study under this chapter has been completed.

Sec. 3.

Minnesota Statutes 2024, section 259.83, subdivision 1, is amended to read:

Subdivision 1.

Services provided.

(a) Agencies shall provide assistance and counseling

services upon receiving a request for current information from adoptive parents, birth parents,

adopted persons aged 18 years of age and older, or adult siblings of adopted persons. The

agency shall contact the other adult persons or the adoptive parents of a minor child in a

personal and confidential manner to determine whether there is a desire to receive or share

information or to have contact. If there is such a desire, the agency shall provide the services

requested. The agency shall complete the search request within six months of the request

being made. If the agency is unable to complete the search request within the specified time

frame, the agency shall inform the requester of the status of the request and include a

reasonable estimate of when the request can be completed.

(b) Upon a request for assistance or services from an adoptive parent of a minor child,

birth parent, or an adopted person 18 years of age or older, the agency must inform the

person:

(1) about the right of an adopted person to request and obtain a copy of the adopted

person's original birth record at the age and circumstances specified in section
deleted text begin
144.2253
deleted text end
new text begin

144.2252
new text end
; and

(2) about the right of the birth parent named on the adopted person's original birth record

to file a contact preference form with the state registrar pursuant to section
144.2253
.

When making or supervising an adoptive placement, the agency must provide in writing to

the birth parents listed on the original birth record the information required under this

paragraph and section
259.37, subdivision 2
, clause (7).

Sec. 4.

Minnesota Statutes 2024, section 260.67, subdivision 1, is amended to read:

Subdivision 1.

Preference for permanency placement with a relative.

Consistent with

section
260C.513
, if an African American or disproportionately represented child cannot

be returned to the child's parent, permanency placement with a relative is preferred. The

court shall consider the requirements of and responsibilities under section
260.012
, paragraph

(a), and, if possible and if requirements under section
260C.515, subdivision 4
, are met,

transfer permanent legal and physical custody of the child to:

(1) a noncustodial parent under section
260C.515, subdivision 4
, if the child cannot

return to the care of the parent or custodian from whom the child was removed or who had

legal custody at the time that the child was placed in foster care; or

(2) a willing and able relative, according to the requirements of section
260C.515
,

subdivision 4. When the responsible social services agency is the petitioner, prior to the

court ordering a transfer of permanent legal and physical custody to a relative, the responsible

social services agency must inform the relative of Northstar kinship assistance benefits and

eligibility requirements and of the relative's ability to apply for benefits on behalf of the

child under
deleted text begin
chapter
deleted text end
deleted text begin
256N
deleted text end
new text begin
sections 142A.60 to 142A.612
new text end
.

Sec. 5.

Minnesota Statutes 2024, section 260C.190, subdivision 1, is amended to read:

Subdivision 1.

Placement.

(a) An agency with legal responsibility for a child under

section
260C.178, subdivision 1
, paragraph (c), or legal custody of a child under section

260C.201, subdivision 1
, paragraph (a), clause
deleted text begin
(3)
deleted text end
new text begin
(2)
new text end
, may colocate a child with a parent

who is receiving services in a licensed residential family-based substance use disorder

treatment program for up to 12 months.

(b) During the child's placement under paragraph (a), the agency: (1) may visit the child

as the agency deems necessary and appropriate; (2) shall continue to have access to

information under section
260C.208
; and (3) shall continue to provide appropriate services

to both the parent and the child.

(c) The agency may terminate the child's placement under paragraph (a) to protect the

child's health, safety, or welfare and may remove the child to foster care without a prior

court order or authorization.

Sec. 6.

Minnesota Statutes 2024, section 260C.212, subdivision 4a, is amended to read:

Subd. 4a.

Monthly caseworker visits.

(a) Every child in foster care or on a trial home

visit shall be visited by the child's caseworker or another person who has responsibility for

visitation of the child on a monthly basis, with the majority of visits occurring in the child's

residence. The responsible social services agency may designate another person responsible

for monthly case visits. For the purposes of this section, the following definitions apply:

(1) "visit" is defined as a face-to-face contact between a child and the child's caseworker
new text begin
.

For a youth 18 years of age or older, a visit may be conducted via video conference with

the youth's informed consent
new text end
;

(2) "visited on a monthly basis" is defined as at least one visit per calendar month;

(3) "the child's caseworker" is defined as the person who has responsibility for managing

the child's foster care placement case as assigned by the responsible social services agency;

(4) "another person" means the professional staff whom the responsible social services

agency has assigned in the out-of-home placement plan or case plan. Another person must

be professionally trained to assess the child's safety, permanency, well-being, and case

progress. The agency may not designate the guardian ad litem, the child foster care provider,

residential facility staff, or a qualified individual as defined in section
260C.007,

subdivision26b
, as another person; and

(5) "the child's residence" is defined as the home where the child is residing, and can

include the foster home, child care institution, or the home from which the child was removed

if the child is on a trial home visit.

(b) Caseworker visits shall be of sufficient substance and duration to address issues

pertinent to case planning and service delivery to ensure the safety, permanency, and

well-being of the child, including whether the child is enrolled and attending school as

required by law.

(c) Every effort shall be made by the responsible social services agency and professional

staff to have the monthly visit with the child outside the presence of the child's parents,

foster parents, or facility staff. There may be situations related to the child's needs when a

caseworker visit cannot occur with the child alone. The reason the caseworker visit occurred

in the presence of others must be documented in the case record and may include:

(1) that the child exhibits intense emotion or behavior indicating that visiting without

the presence of the parent, foster parent, or facility staff would be traumatic for the child;

(2) that despite a caseworker's efforts, the child declines to visit with the caseworker

outside the presence of the parent, foster parent, or facility staff; and

(3) that the child has a specific developmental delay, physical limitation, incapacity,

medical device, or significant medical need, such that the parent, foster parent, or facility

staff is required to be present with the child during the visit.