Subdivision 1. Programs established. Within the limits of available appropriations, the commissioner of human services shall require the maintenance of budget neutral fraud prevention investigation programs in the counties or tribal agencies participating in the fraud prevention investigation project established under this section. If funds are sufficient, the commissioner may also extend fraud prevention investigation programs to other counties or tribal agencies provided the expansion is budget neutral to the state. Under any expansion, the commissioner has the final authority in decisions regarding the creation and realignment of individual county, tribal agency, or regional operations.
Subd. 2. County and tribal agency proposals. Each participating county and tribal agency shall develop and submit an annual staffing and funding proposal to the commissioner no later than April 30 of each year. Each proposal shall include, but not be limited to, the staffing and funding of the fraud prevention investigation program, a job description for investigators involved in the fraud prevention investigation program, and the organizational structure of the county or tribal agency unit, training programs for case workers, and the operational requirements which may be directed by the commissioner. The proposal shall be approved, to include any changes directed or negotiated by the commissioner, no later than June 30 of each year.
Subd. 3. Department responsibilities. The commissioner shall establish training programs which shall be attended by all investigative and supervisory staff of the involved county and tribal agencies. The commissioner shall also develop the necessary operational guidelines, forms, and reporting mechanisms, which shall be used by the involved county or tribal agencies. An individual's application or redetermination form for public assistance benefits, including child care assistance programs and medical care programs, must include an authorization for release by the individual to obtain documentation for any information on that form which is involved in a fraud prevention investigation. The authorization for release is effective for six months after public assistance benefits have ceased.
Subd. 4. Funding. (a) County and tribal agency reimbursement shall be made through the settlement provisions applicable to the Supplemental Nutrition Assistance Program (SNAP), MFIP, child care assistance programs, the medical assistance program, and other federal and state-funded programs.
(b) The commissioner will maintain program compliance if for any three consecutive month period, a county or tribal agency fails to comply with fraud prevention investigation program guidelines, or fails to meet the cost-effectiveness standards developed by the commissioner. This result is contingent on the commissioner providing written notice, including an offer of technical assistance, within 30 days of the end of the third or subsequent month of noncompliance. The county or tribal agency shall be required to submit a corrective action plan to the commissioner within 30 days of receipt of a notice of noncompliance. Failure to submit a corrective action plan or, continued deviation from standards of more than ten percent after submission of a corrective action plan, will result in denial of funding for each subsequent month, or billing the county or tribal agency for fraud prevention investigation (FPI) service provided by the commissioner, or reallocation of program grant funds, or investigative resources, or both, to other counties or tribal agencies. The denial of funding shall apply to the general settlement received by the county or tribal agency on a quarterly basis and shall not reduce the grant amount applicable to the FPI project.
Subd. 5. Child care providers; financial misconduct. (a) A county or tribal agency may conduct investigations of financial misconduct by child care providers as described in chapter 245E. Prior to opening an investigation, a county or tribal agency must contact the commissioner to determine whether an investigation under this chapter may compromise an ongoing investigation.
(b) If, upon investigation, a preponderance of evidence shows a provider committed an intentional program violation, intentionally gave the county or tribe materially false information on the provider's billing forms, provided false attendance records to a county, tribe, or the commissioner, or committed financial misconduct as described in section 245E.01, subdivision 8, the county or tribal agency may suspend a provider's payment pursuant to chapter 245E, or deny or revoke a provider's authorization pursuant to section 119B.13, subdivision 6, paragraph (d), clause (2), prior to pursuing other available remedies. The county or tribe must send notice in accordance with the requirements of section 119B.161, subdivision 2. If a provider's payment is suspended under this section, the payment suspension shall remain in effect until: (1) the commissioner, county, tribe, or a law enforcement authority determines that there is insufficient evidence warranting the action and a county, tribe, or the commissioner does not pursue an additional administrative remedy under chapter 119B or 245E, or section 256.046 or 256.98; or (2) all criminal, civil, and administrative proceedings related to the provider's alleged misconduct conclude and any appeal rights are exhausted.
(c) For the purposes of this section, an intentional program violation includes intentionally making false or misleading statements; intentionally misrepresenting, concealing, or withholding facts; and repeatedly and intentionally violating program regulations under chapters 119B and 245E.
(d) A provider has the right to administrative review under section 119B.161 if: (1) payment is suspended under chapter 245E; or (2) the provider's authorization was denied or revoked under section 119B.13, subdivision 6, paragraph (d), clause (2).
1989 c 282 art 5 s 41; 1991 c 292 art 5 s 27; 1Sp1993 c 1 art 6 s 24; 1995 c 178 art 2 s 23; 1995 c 207 art 2 s 32; 1997 c 85 art 5 s 11,12; 1999 c 159 s 49; 1999 c 205 art 1 s 57,58; 2000 c 260 s 97; 1Sp2003 c 14 art 1 s 106; 2009 c 79 art 2 s 10; 1Sp2019 c 9 art 1 s 42; art 2 s 110; 2021 c 30 art 1 s 6
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.