Subdivision 1. Hearing authority. A local agency must initiate an administrative fraud disqualification hearing for individuals accused of wrongfully obtaining assistance or intentional program violations, in lieu of a criminal action when it has not been pursued, in the Minnesota family investment program and any affiliated program to include the diversionary work program and the work participation cash benefit program, child care assistance programs, general assistance, family general assistance program formerly codified in section 256D.05, subdivision 1, clause (15), Minnesota supplemental aid, the Supplemental Nutrition Assistance Program (SNAP), MinnesotaCare for adults without children, and upon federal approval, all categories of medical assistance and remaining categories of MinnesotaCare except for children through age 18. The Department of Human Services, in lieu of a local agency, may initiate an administrative fraud disqualification hearing when the state agency is directly responsible for administration or investigation of the program for which benefits were wrongfully obtained. The hearing is subject to the requirements of sections 256.045 and 256.0451 and the requirements in Code of Federal Regulations, title 7, section 273.16.
Subd. 2. Combined hearing. The human services judge may combine a fair hearing and administrative fraud disqualification hearing into a single hearing if the factual issues arise out of the same, or related, circumstances and the individual receives prior notice that the hearings will be combined. If the administrative fraud disqualification hearing and fair hearing are combined, the time frames for administrative fraud disqualification hearings specified in Code of Federal Regulations, title 7, section 273.16, apply. If the individual accused of wrongfully obtaining assistance is charged under section 256.98 for the same act or acts which are the subject of the hearing, the individual may request that the hearing be delayed until the criminal charge is decided by the court or withdrawn.
Subd. 3. Administrative disqualification of child care providers caring for children receiving child care assistance. (a) The department or local agency shall pursue an administrative disqualification, if the child care provider is accused of committing an intentional program violation, in lieu of a criminal action when it has not been pursued. Intentional program violations include intentionally making false or misleading statements; intentionally misrepresenting, concealing, or withholding facts; and repeatedly and intentionally violating program regulations under chapters 119B and 245E. Intent may be proven by demonstrating a pattern of conduct that violates program rules under chapters 119B and 245E.
(b) To initiate an administrative disqualification, a local agency or the commissioner must mail written notice by certified mail to the provider against whom the action is being taken. Unless otherwise specified under chapter 119B or 245E or Minnesota Rules, chapter 3400, a local agency or the commissioner must mail the written notice at least 15 calendar days before the adverse action's effective date. The notice shall state (1) the factual basis for the agency's determination, (2) the action the agency intends to take, (3) the dollar amount of the monetary recovery or recoupment, if known, and (4) the provider's right to appeal the agency's proposed action.
(c) The provider may appeal an administrative disqualification by submitting a written request to the Department of Human Services, Appeals Division. A provider's request must be received by the Appeals Division no later than 30 days after the date a local agency or the commissioner mails the notice.
(d) The provider's appeal request must contain the following:
(1) each disputed item, the reason for the dispute, and, if applicable, an estimate of the dollar amount involved for each disputed item;
(2) the computation the provider believes to be correct, if applicable;
(3) the statute or rule relied on for each disputed item; and
(4) the name, address, and telephone number of the person at the provider's place of business with whom contact may be made regarding the appeal.
(e) On appeal, the issuing agency bears the burden of proof to demonstrate by a preponderance of the evidence that the provider committed an intentional program violation.
(f) The hearing is subject to the requirements of sections 256.045 and 256.0451. The human services judge may combine a fair hearing and administrative disqualification hearing into a single hearing if the factual issues arise out of the same or related circumstances and the provider receives prior notice that the hearings will be combined.
(g) A provider found to have committed an intentional program violation and is administratively disqualified shall be disqualified, for a period of three years for the first offense and permanently for any subsequent offense, from receiving any payments from any child care program under chapter 119B.
(h) Unless a timely and proper appeal made under this section is received by the department, the administrative determination of the department is final and binding.
1992 c 513 art 8 s 10; 1997 c 85 art 4 s 12; art 5 s 6; 1Sp1997 c 5 s 13; 1999 c 159 s 40; 1999 c 205 art 1 s 52; 1Sp2003 c 14 art 9 s 31; art 12 s 3; 2004 c 288 art 4 s 25; 1Sp2005 c 4 art 8 s 10; 2008 c 286 art 1 s 2; 2010 c 301 art 1 s 1; 2013 c 107 art 1 s 9; 2016 c 158 art 2 s 63; 1Sp2019 c 9 art 1 s 42; art 2 s 106,107
Structure Minnesota Statutes
Chapters 245 - 267 — Public Welfare And Related Activities
Section 256.01 — Commissioner Of Human Services; Powers, Duties.
Section 256.011 — Administration Of Federal Grants-in-aid.
Section 256.0112 — Grants And Purchase Of Service Contracts.
Section 256.012 — Minnesota Merit System.
Section 256.0121 — Southern Cities Community Health Clinic.
Section 256.014 — State And County Systems.
Section 256.015 — Public Assistance Lien On Recipient's Cause Of Action.
Section 256.016 — Plain Language In Written Materials.
Section 256.0161 — Forecast On Children's Health Care Services.
Section 256.017 — Compliance System.
Section 256.018 — County Public Assistance Incentive Fund.
Section 256.019 — Recovery Of Money; Apportionment.
Section 256.02 — Investigations; Examinations; Supervision.
Section 256.021 — Vulnerable Adult Maltreatment Review Panel.
Section 256.023 — One Hundred Percent County Assistance.
Section 256.027 — Use Of Vans Permitted.
Section 256.028 — Tax Rebates.
Section 256.0281 — Interagency Data Exchange.
Section 256.029 — Domestic Violence Informational Brochure.
Section 256.041 — Cultural And Ethnic Communities Leadership Council.
Section 256.042 — Opiate Epidemic Response Advisory Council.
Section 256.043 — Opiate Epidemic Response Fund.
Section 256.045 — Administrative And Judicial Review Of Human Services Matters.
Section 256.0451 — Hearing Procedures.
Section 256.046 — Administrative Fraud Disqualification Hearings.
Section 256.0471 — Overpayments Become Judgments By Operation Of Law.
Section 256.25 — Old Age Assistance To Be Allowed As Claim In District Court.
Section 256.263 — Land Acquired By State Under Old Age Assistance Liens.
Section 256.362 — Reports And Implementation.
Section 256.462 — Applicability Of Other Law; Recovery Of Assistance Furnished.
Section 256.476 — Consumer Support Program.
Section 256.477 — Self-advocacy Grants.
Section 256.4772 — Minnesota Inclusion Initiative Grant.
Section 256.4776 — Parent-to-parent Peer Support.
Section 256.478 — Transition To Community Initiative.
Section 256.479 — Customized Living Quality Improvement Grants.
Section 256.481 — Person With A Disability; Definition.
Section 256.482 — Council On Disability.
Section 256.4825 — Report Regarding Programs And Services For People With Disabilities.
Section 256.4835 — Minnesota Rare Disease Advisory Council.
Section 256.484 — Social Adjustment Services To Refugees.
Section 256.741 — Child Support And Maintenance.
Section 256.82 — Payments By State.
Section 256.87 — Contribution By Parents.
Section 256.8799 — Supplemental Nutrition Assistance Outreach Program.
Section 256.88 — Social Welfare Fund Established.
Section 256.89 — Fund Deposited In State Treasury.
Section 256.90 — Social Welfare Fund; Use; Disposition; Depositories.
Section 256.92 — Commissioner Of Human Services, Accounts.
Section 256.925 — Optional Voter Registration For Public Assistance Applicants And Recipients.
Section 256.93 — Commissioner Of Human Services, Possession Of Estates.
Section 256.935 — Funeral Expenses, Payment By County Agency.
Section 256.9365 — Purchase Of Health Care Coverage For People Living With Hiv.
Section 256.94 — Conferences Of Various Officials.
Section 256.95 — Expense Of Attendance At Conference.
Section 256.958 — Retired Dentist Program.
Section 256.959 — Dental Practice Donation Program.
Section 256.96 — Cooperation With Other Boards.
Section 256.962 — Minnesota Health Care Programs Outreach.
Section 256.963 — Primary Care Access Initiative.
Section 256.9655 — Payments To Medical Providers.
Section 256.9656 — Deposits Into The General Fund.
Section 256.9657 — Provider Surcharges.
Section 256.9685 — Establishment Of Inpatient Hospital Payment System.
Section 256.9686 — Definitions.
Section 256.969 — Payment Rates.
Section 256.9693 — Inpatient Treatment For Mental Illness.
Section 256.9695 — Appeals Of Rates; Prohibited Practices For Hospitals; Transition Rates.
Section 256.974 — Office Of Ombudsman For Long-term Care.
Section 256.9741 — Definitions.
Section 256.9742 — Duties And Powers Of The Office.
Section 256.9744 — Office Data.
Section 256.975 — Minnesota Board On Aging.
Section 256.9752 — Senior Nutrition Programs.
Section 256.9753 — Volunteer Programs For Retired Senior Citizens.
Section 256.9754 — Community Services Development Grants Program.
Section 256.9755 — Caregiver Support Programs.
Section 256.976 — Foster Grandparents Program.
Section 256.977 — Senior Companion Program.
Section 256.978 — Location Of Parents, Access To Records.
Section 256.979 — Child Support Incentives.
Section 256.98 — Wrongfully Obtaining Assistance; Theft.
Section 256.981 — Training Of Welfare Fraud Prosecutors.
Section 256.982 — Training Of Welfare Fraud Investigators.
Section 256.983 — Fraud Prevention Investigations.
Section 256.9831 — Benefits; Gambling Establishments.
Section 256.984 — Declaration And Penalty.
Section 256.986 — County Coordination Of Fraud Control Activities.
Section 256.9861 — Fraud Control; Program Integrity Reinvestment Project.
Section 256.9862 — Electronic Benefit Transaction Card Fee.
Section 256.9863 — Electronic Benefit Transaction Card; Receipt Of Benefits.
Section 256.9864 — Reports By Recipient.
Section 256.9865 — Recovery Of Overpayments And Atm Errors.
Section 256.9866 — Community Service As A County Obligation.
Section 256.987 — Electronic Benefit Transfer Card.
Section 256.9872 — Ebt Transaction Costs; Supplemental Nutrition Assistance Program.
Section 256.99 — Reverse Mortgage Proceeds Disregarded.
Section 256.995 — School-linked Services For At-risk Children And Youth.
Section 256.997 — Child Support Obligor Community Service Work Experience Program.