County cost-share requirements for economically distressed counties modified.

A bill for an act

relating to human services; modifying county cost-share requirements for

economically distressed counties; amending Minnesota Statutes 2024, section

246.54, subdivision 2; Minnesota Statutes 2025 Supplement, section 254B.03,

subdivision 4.

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

Section 1.

Minnesota Statutes 2024, section 246.54, subdivision 2, is amended to read:

Subd. 2.

Exceptions.

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(a)
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Regardless of the facility to which the client is committed,

subdivisions 1, 1a, 1b, and 1c, do not apply to the following individuals:

(1) clients who are committed as sexual psychopathic personalities under section
253D.02,

subdivision 15
; and

(2) clients who are committed as sexually dangerous persons under section
253D.02,

subdivision 16
.

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(b) A county that is classified as economically distressed is not responsible for the costs

of care under this section. The executive board must classify a county as economically

distressed if:

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(1) more than 15 percent of the county's population is living in poverty, according to

the most recent data published by the United States Census Bureau; and

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(2) more than 70 percent of the total acreage in the county is exempt from property

taxation under chapter 272.

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Sec. 2.

Minnesota Statutes 2025 Supplement, section 254B.03, subdivision 4, is amended

to read:

Subd. 4.

Division of costs.

(a) Except for services provided by a county under section

254B.09, subdivision 1
, or services provided under section
256B.69
, the county shall, out

of local money, pay the state for 22.95 percent of the cost of substance use disorder services,

except for those services provided to persons enrolled in medical assistance under chapter

256B and room and board services under section
254B.0505, subdivision 1
. Counties may

use the indigent hospitalization levy for treatment and hospital payments made under this

section.

(b) 22.95 percent of any state collections from private or third-party pay, less 15 percent

for the cost of payment and collections, must be distributed to the county that paid for a

portion of the treatment under this section.

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(c) Notwithstanding paragraphs (a) and (b), a county that is classified as economically

distressed is not responsible for the county share of the cost of substance use disorder

services. The commissioner must classify a county as economically distressed if:

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(1) more than 15 percent of the county's population is living in poverty, according to

the most recent data published by the United States Census Bureau; and

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(2) more than 70 percent of the total acreage in the county is exempt from property

taxation under chapter 272.

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