The proposed bill, if enacted, would amend current statutes by appropriating a total of $50,000,000 from the state General Fund and $84,201,000 in Medicaid Expenditure Authority to the Department of Economic Security (DES) for fiscal years 2026 through 2030. Specifically, it would allocate $46,000,000 for reimbursement rate increases for home and community-based services (HCBS) and an additional $4,000,000 for room and board services for individuals with intellectual and developmental disabilities. The bill mandates that DES provide these reimbursement rate increases for all HCBS services and engage community stakeholders prior to implementing any rate changes.
Furthermore, the bill requires DES to report the increased provider rates to the Joint Legislative Budget Committee (JLBC) by September 1 each year and to implement these increases by October 1. It also directs DES to conduct a nationally recognized survey to assess the direct support professional workforce for HCBS, with findings reported to the JLBC after three years of data collection. If improvements in workforce metrics are not observed, the JLBC may recommend withholding appropriations for the subsequent fiscal years. The bill expresses the legislature's intent for these appropriations to be considered ongoing funding in future years.