This bill establishes temporary funding mechanisms aimed at addressing the needs of high-acuity patients discharged from hospitals in Minnesota. It introduces a system for partial reimbursement to hospitals for avoidable nonacute patient days, effective July 1, 2023. Hospitals will receive payments of up to $1,400 per qualifying avoidable day, which includes days when high-acuity patients are boarded in emergency departments or remain in the hospital beyond their discharge eligibility due to a lack of available settings for safe release. Hospitals must report qualifying avoidable patient days to the commissioner of human services by June 15, 2023, to receive reimbursement.

Additionally, the bill provides supplemental payments of $150 per resident per day to nursing facilities, assisted living facilities, and other community-based settings that accept high-acuity patients directly from hospitals, also starting July 1, 2023. These payments are guaranteed for at least 365 days for each resident, contingent on their status as a high-acuity patient. The bill appropriates $60 million for fiscal year 2024 for hospital reimbursements and $164 million over two years for supplemental payments to receiving settings. The funding aims to ensure that facilities can adequately care for high-acuity patients while alleviating the burden on hospitals.