Nonemergency medical transportation providers required to operate vehicles equipped with a global positions system and rear-facing camera, compile information for each trip, and retain recordings for two years.

A bill for an act

relating to fraud; requiring nonemergency medical transportation providers to

operate vehicles equipped with a global positioning system and rear-facing camera,

compile certain information for each trip, and retain recordings for two years;

amending Minnesota Statutes 2024, section 256B.0625, subdivisions 17b, 18h;

Minnesota Statutes 2025 Supplement, sections 174.30, subdivision 3; 256B.0625,

subdivision 17.

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

Section 1.

Minnesota Statutes 2025 Supplement, section 174.30, subdivision 3, is amended

to read:

Subd. 3.

Other standards; wheelchair securement; protected transport.

(a) A special

transportation service that transports individuals occupying wheelchairs is subject to the

provisions of sections
299A.11
to
299A.17
concerning wheelchair securement devices. The

commissioners of transportation and public safety shall cooperate in the enforcement of

this section and sections
299A.11
to
299A.17
so that a single inspection is sufficient to

ascertain compliance with sections
299A.11
to
299A.17
and with the standards adopted

under this section. Representatives of the Department of Transportation may inspect

wheelchair securement devices in vehicles operated by special transportation service

providers to determine compliance with sections
299A.11
to
299A.17
and to issue certificates

under section
299A.14, subdivision 4
.

(b) In place of a certificate issued under section
299A.14
, the commissioner may issue

a decal under subdivision 4 for a vehicle equipped with a wheelchair securement device if

the device complies with sections
299A.11
to
299A.17
and the decal displays the information

in section
299A.14, subdivision 4
.

(c) For vehicles designated as protected transport under section
256B.0625
, subdivision

17, paragraph
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(n)
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(o)
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, the commissioner of transportation, during the commissioner's

inspection, shall check to ensure the safety provisions contained in that paragraph are in

working order.

Sec. 2.

Minnesota Statutes 2025 Supplement, section 256B.0625, subdivision 17, is

amended to read:

Subd. 17.

Transportation costs.

(a) "Nonemergency medical transportation service"

means motor vehicle transportation provided by a public or private person that serves

Minnesota health care program beneficiaries who do not require emergency ambulance

service, as defined in section
144E.001, subdivision 3
, to obtain covered medical services.

(b) For purposes of this subdivision, "rural urban commuting area" or "RUCA" means

a census-tract based classification system under which a geographical area is determined

to be urban, rural, or super rural. This paragraph expires July 1, 2026, for medical assistance

fee-for-service and January 1, 2027, for prepaid medical assistance.

(c) Medical assistance covers medical transportation costs incurred solely for obtaining

emergency medical care or transportation costs incurred by eligible persons in obtaining

emergency or nonemergency medical care when paid directly to an ambulance company,

nonemergency medical transportation company, or other recognized providers of

transportation services. Medical transportation must be provided by:

(1) nonemergency medical transportation providers who meet the requirements of this

subdivision;

(2) ambulances, as defined in section
144E.001, subdivision 2
;

(3) taxicabs that meet the requirements of this subdivision;

(4) public transportation, within the meaning of "public transportation" as defined in

section
174.22
, subdivision 7; or

(5) not-for-hire vehicles, including volunteer drivers, as defined in section
65B.472
,

subdivision 1, paragraph (p).

(d) Medical assistance covers nonemergency medical transportation provided by

nonemergency medical transportation providers enrolled in the Minnesota health care

programs. All nonemergency medical transportation providers must comply with the

operating standards for special transportation service as defined in sections
174.29
to
174.30

and Minnesota Rules, chapter 8840, and all drivers must be individually enrolled with the

commissioner and reported on the claim as the individual who provided the service. All

nonemergency medical transportation providers shall bill for nonemergency medical

transportation services in accordance with Minnesota health care programs criteria. Publicly

operated transit systems, volunteers, and not-for-hire vehicles are exempt from the

requirements outlined in this paragraph.

(e) An organization may be terminated, denied, or suspended from enrollment if:

(1) the provider has not initiated background studies on the individuals specified in

section
174.30, subdivision 10
, paragraph (a), clauses (1) to (3); or

(2) the provider has initiated background studies on the individuals specified in section

174.30, subdivision 10
, paragraph (a), clauses (1) to (3), and:

(i) the commissioner has sent the provider a notice that the individual has been

disqualified under section
245C.14
; and

(ii) the individual has not received a disqualification set-aside specific to the special

transportation services provider under sections
245C.22
and
245C.23
.

(f) The administrative agency of nonemergency medical transportation must:

(1) adhere to the policies defined by the commissioner;

(2) pay nonemergency medical transportation providers for services provided to

Minnesota health care programs beneficiaries to obtain covered medical services;

(3) provide data monthly to the commissioner on appeals, complaints, no-shows, canceled

trips, and number of trips by mode; and

(4) by July 1, 2016, in accordance with subdivision 18e, utilize a web-based single

administrative structure assessment tool that meets the technical requirements established

by the commissioner, reconciles trip information with claims being submitted by providers,

and ensures prompt payment for nonemergency medical transportation services. This

paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 2027,

for prepaid medical assistance.

(g) Effective July 1, 2026, for medical fee-for-service and January 1, 2027, for prepaid

medical assistance, the administrative agency of nonemergency medical transportation must:

(1) adhere to the policies defined by the commissioner;

(2) pay nonemergency medical transportation providers for services provided to

Minnesota health care program beneficiaries to obtain covered medical services; and

(3) provide data monthly to the commissioner on appeals, complaints, no-shows, canceled

trips, and number of trips by mode.

(h) Until the commissioner implements the single administrative structure and delivery

system under subdivision 18e, clients shall obtain their level-of-service certificate from the

commissioner or an entity approved by the commissioner that does not dispatch rides for

clients using modes of transportation under paragraph
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(n)
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(o)
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, clauses (4), (5), (6), and (7).

This paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1,

2027, for prepaid medical assistance.

(i) The commissioner may use an order by the recipient's attending physician, advanced

practice registered nurse, physician assistant, or a medical or mental health professional to

certify that the recipient requires nonemergency medical transportation services.

Nonemergency medical transportation providers shall perform driver-assisted services for

eligible individuals, when appropriate. Driver-assisted service includes passenger pickup

at and return to the individual's residence or place of business, assistance with admittance

of the individual to the medical facility, and assistance in passenger securement or in securing

of wheelchairs, child seats, or stretchers in the vehicle.

(j) Nonemergency medical transportation providers must take clients to the health care

provider using the most direct route, and must not exceed 30 miles for a trip to a primary

care provider or 60 miles for a trip to a specialty care provider, unless the client receives

authorization from the local agency. This paragraph expires July 1, 2026, for medical

assistance fee-for-service and January 1, 2027, for prepaid medical assistance.

(k) Effective July 1, 2026, for medical assistance fee-for-service and January 1, 2027,

for prepaid medical assistance, nonemergency medical transportation providers must take

clients to the health care provider using the most direct route and must not exceed 30 miles

for a trip to a primary care provider or 60 miles for a trip to a specialty care provider, unless

the client receives authorization from the administrator.

(l) Nonemergency medical transportation providers may not bill for separate base rates

for the continuation of a trip beyond the original destination. Nonemergency medical

transportation providers must maintain trip logs, which include pickup and drop-off times,

signed by the medical provider or client, whichever is deemed most appropriate, attesting

to mileage traveled to obtain covered medical services. Clients requesting client mileage

reimbursement must sign the trip log attesting mileage traveled to obtain covered medical

services.

new text begin

(m) A vehicle operated by a nonemergency medical transportation provider must be

equipped with a global positioning system capable of tracking the route taken by the vehicle

and a rear-facing camera capable of recording a sufficient area of the passenger compartment

to identify the recipient of the service and the date and time when the recording was made.

new text end

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(m)
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(n)
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The administrative agency shall use the level of service process established by

the commissioner to determine the client's most appropriate mode of transportation. If public

transit or a certified transportation provider is not available to provide the appropriate service

mode for the client, the client may receive a onetime service upgrade.

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(n)
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(o)
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The covered modes of transportation are:

(1) client reimbursement, which includes client mileage reimbursement provided to

clients who have their own transportation, or to family or an acquaintance who provides

transportation to the client;

(2) volunteer transport, which includes transportation by volunteers using their own

vehicle;

(3) unassisted transport, which includes transportation provided to a client by a taxicab

or public transit. If a taxicab or public transit is not available, the client can receive

transportation from another nonemergency medical transportation provider;

(4) assisted transport, which includes transport provided to clients who require assistance

by a nonemergency medical transportation provider;

(5) lift-equipped/ramp transport, which includes transport provided to a client who is

dependent on a device and requires a nonemergency medical transportation provider with

a vehicle containing a lift or ramp;

(6) protected transport, which includes transport provided to a client who has received

a prescreening that has deemed other forms of transportation inappropriate and who requires

a provider: (i) with a protected vehicle that is not an ambulance or police car and has safety

locks, a video recorder, and a transparent thermoplastic partition between the passenger and

the vehicle driver; and (ii) who is certified as a protected transport provider; and

(7) stretcher transport, which includes transport for a client in a prone or supine position

and requires a nonemergency medical transportation provider with a vehicle that can transport

a client in a prone or supine position.

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(o)
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(p)
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The local agency shall be the single administrative agency and shall administer

and reimburse for modes defined in paragraph
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(n)
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(o)
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according to paragraphs
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(r)
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(s)
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to
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(t)
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(u)
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when the commissioner has developed, made available, and funded the web-based single

administrative structure, assessment tool, and level of need assessment under subdivision

18e. The local agency's financial obligation is limited to funds provided by the state or

federal government. This paragraph expires July 1, 2026, for medical assistance

fee-for-service and January 1, 2027, for prepaid medical assistance.

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(p)
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new text begin
(q)
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The commissioner shall:

(1) verify that the mode and use of nonemergency medical transportation is appropriate;

(2) verify that the client is going to an approved medical appointment; and

(3) investigate all complaints and appeals.

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(q)
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(r)
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The administrative agency shall pay for the services provided in this subdivision

and seek reimbursement from the commissioner, if appropriate. As vendors of medical care,

local agencies are subject to the provisions in section
256B.041
, the sanctions and monetary

recovery actions in section
256B.064
, and Minnesota Rules, parts
9505.2160
to
9505.2245
.

This paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1,

2027, for prepaid medical assistance.

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(r)
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(s)
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Payments for nonemergency medical transportation must be paid based on the

client's assessed mode under paragraph
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(m)
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(n)
new text end
, not the type of vehicle used to provide the

service. The medical assistance reimbursement rates for nonemergency medical transportation

services that are payable by or on behalf of the commissioner for nonemergency medical

transportation services are:

(1) $0.22 per mile for client reimbursement;

(2) up to 100 percent of the Internal Revenue Service business deduction rate for volunteer

transport;

(3) equivalent to the standard fare for unassisted transport when provided by public

transit, and $12.10 for the base rate and $1.43 per mile when provided by a nonemergency

medical transportation provider;

(4) $14.30 for the base rate and $1.43 per mile for assisted transport;

(5) $19.80 for the base rate and $1.70 per mile for lift-equipped/ramp transport;

(6) $75 for the base rate and $2.40 per mile for protected transport; and

(7) $60 for the base rate and $2.40 per mile for stretcher transport, and $9 per trip for

an additional attendant if deemed medically necessary. This paragraph expires July 1, 2026,

for medical assistance fee-for-service and January 1, 2027, for prepaid medical assistance.

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(s)
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new text begin
(t)
new text end
Effective July 1, 2026, for medical assistance fee-for-service and January 1, 2027,

for prepaid medical assistance, payments for nonemergency medical transportation must

be paid based on the client's assessed mode under paragraph
deleted text begin
(m)
deleted text end
new text begin
(n)
new text end
, not the type of vehicle

used to provide the service.

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(t)
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new text begin
(u)
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The base rate for nonemergency medical transportation services in areas defined

under RUCA to be super rural is equal to 111.3 percent of the respective base rate in

paragraph
deleted text begin
(r)
deleted text end
new text begin
(s)
new text end
, clauses (1) to (7). The mileage rate for nonemergency medical transportation

services in areas defined under RUCA to be rural or super rural areas is:

(1) for a trip equal to 17 miles or less, equal to 125 percent of the respective mileage

rate in paragraph
deleted text begin
(r)
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new text begin
(s)
new text end
, clauses (1) to (7); and

(2) for a trip between 18 and 50 miles, equal to 112.5 percent of the respective mileage

rate in paragraph
deleted text begin
(r)
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new text begin
(s)
new text end
, clauses (1) to (7). This paragraph expires July 1, 2026, for medical

assistance fee-for-service and January 1, 2027, for prepaid medical assistance.

deleted text begin

(u)
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(v)
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For purposes of reimbursement rates for nonemergency medical transportation

services under paragraphs
deleted text begin
(r)
deleted text end
new text begin
(s)
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to
deleted text begin
(t)
deleted text end
new text begin
(u)
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, the zip code of the recipient's place of residence

shall determine whether the urban, rural, or super rural reimbursement rate applies. This

paragraph expires July 1, 2026, for medical assistance fee-for-service and January 1, 2027,

for prepaid medical assistance.

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(v)
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(w)
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The commissioner, when determining reimbursement rates for nonemergency

medical transportation, shall exempt all modes of transportation listed under paragraph
deleted text begin
(n)
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new text begin

(o)
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from Minnesota Rules, part
9505.0445
, item R, subitem (2).

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(w)
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new text begin
(x)
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Effective for the first day of each calendar quarter in which the price of gasoline

as posted publicly by the United States Energy Information Administration exceeds $3.00

per gallon, the commissioner shall adjust the rate paid per mile in paragraph
deleted text begin
(r)
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new text begin
(s)
new text end
by one

percent up or down for every increase or decrease of ten cents for the price of gasoline. The

increase or decrease must be calculated using a base gasoline price of $3.00. The percentage

increase or decrease must be calculated using the average of the most recently available

price of all grades of gasoline for Minnesota as posted publicly by the United States Energy

Information Administration. This paragraph expires July 1, 2026, for medical assistance

fee-for-service and January 1, 2027, for prepaid medical assistance.

Sec. 3.

Minnesota Statutes 2024, section 256B.0625, subdivision 17b, is amended to read:

Subd. 17b.

Documentation required.

(a) As a condition for payment, nonemergency

medical transportation providers must document each occurrence of a service provided to

a recipient according to this subdivision. Providers must maintain records sufficient to

distinguish individual trips with specific vehicles and drivers. The documentation may be

collected and maintained using electronic systems or software or in paper form but must be

made available and produced upon request. Program funds paid for transportation that is

not documented according to this subdivision may be subject to recovery by the commissioner

pursuant to section
256B.064
.

(b) A nonemergency medical transportation provider must compile transportation trip

records that are written in English and legible according to the standard of a reasonable

person and that include each of the following elements:

(1) the recipient's name;

(2) the date or dates the service is provided, if different than the date the entry was made;

(3) either the printed name of the driver sufficient to distinguish the driver of service or

the driver's provider number;

(4) the date and the signature of the driver attesting that the record accurately represents

the services provided and the actual miles driven, and acknowledging that misreporting

information that results in ineligible or excessive payments may result in civil or criminal

action;

(5) the date and the signature of the recipient or authorized party attesting that

transportation services were provided as indicated on the transportation trip record, or the

signature of the medical services provider certifying that the recipient was transported to

the medical services provider destination. In the event that both the medical services provider

and the recipient or authorized party refuse or are unable to provide signatures, the driver

must document on the transportation trip record that signatures were requested and not

provided;

(6) the address, or the description if the address is not available, of both the origin and

destination, and the mileage for the most direct route from the origin to the destination;

(7) the name or number of the mode of transportation in which the service is provided;

(8) the license plate number of the vehicle used to transport the recipient;

(9) the time of the recipient pickup;

(10) the time of the recipient drop-off;

(11) the odometer reading of the vehicle used to transport the recipient taken at the time

of pickup;

(12) the odometer reading of the vehicle used to transport the recipient taken at the time

of drop-off;

(13) the name of the extra attendant when an extra attendant is used to provide special

transportation service; and

(14) the documentation indicating the method that was used to determine the most direct

route.

new text begin

(c) In addition to the requirements under paragraph (a), a nonemergency medical

transportation provider must compile transportation trip records that include:

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(1) global positioning system data showing the origin and destination of each trip; and

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(2) a recording of the passenger compartment of the vehicle taken from a rear-facing

camera that shows the recipient of the service and the date and time when the recording

was made.

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(c)
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(d)
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In determining whether the commissioner will seek recovery, the documentation

requirements in this section apply retroactively to audit findings beginning January 1, 2020,

and to all audit findings thereafter
new text begin
, except that the documentation requirements in paragraph

(c) do not apply retroactively
new text end
.

new text begin

(e) Notwithstanding any other law or rule to the contrary, recordings of the passenger

compartment of a vehicle must be retained for two years.

new text end

Sec. 4.

Minnesota Statutes 2024, section 256B.0625, subdivision 18h, is amended to read:

Subd. 18h.

Nonemergency medical transportation provisions related to managed

care.

(a) The following nonemergency medical transportation (NEMT) subdivisions apply

to managed care plans and county-based purchasing plans:

(1) subdivision 17, paragraphs (a), (b), (i),
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(m),
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and
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(n)
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(o)
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;

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(2) subdivision 17b;

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(2)
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new text begin
(3)
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subdivision 18; and

deleted text begin

(3)
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new text begin
(4)
new text end
subdivision 18a.

(b) A nonemergency medical transportation provider must comply with the operating

standards for special transportation service specified in sections
174.29
to
174.30
and

Minnesota Rules, chapter 8840. Publicly operated transit systems, volunteers, and not-for-hire

vehicles are exempt from the requirements in this paragraph.

(c) Managed care plans and county-based purchasing plans must provide a fuel adjustment

for NEMT rates when fuel exceeds $3 per gallon. If, for any contract year, federal approval

is not received for this paragraph, the commissioner must adjust the capitation rates paid to

managed care plans and county-based purchasing plans for that contract year to reflect the

removal of this provision. Contracts between managed care plans and county-based

purchasing plans and providers to whom this paragraph applies must allow recovery of

payments from those providers if capitation rates are adjusted in accordance with this

paragraph. Payment recoveries must not exceed the amount equal to any increase in rates

that results from this paragraph. This paragraph expires if federal approval is not received

for this paragraph at any time.