The proposed bill aims to strengthen regulations against kickbacks in human services benefits, particularly focusing on child care assistance programs. It amends several sections of Minnesota Statutes to prohibit hiring practices that require employees to have children eligible for child care assistance as a condition of employment. Additionally, it establishes that program applicants, participants, and providers are prohibited from receiving or providing kickbacks for financial gain related to child care assistance. The bill also outlines that attempts to buy or sell access to child care subsidy benefits will be considered a kickback and an intentional program violation.

Furthermore, the bill introduces new provisions under Minnesota Statutes, chapter 609, which define crimes related to human services programs, including the offering or receiving of kickbacks in exchange for benefits under federal health care programs or state behavioral health programs. It specifies exemptions for certain payments, such as those made under the Anti-Kickback Statute and discounts or scholarships for child care providers. The bill establishes criminal penalties for violations, including potential sentencing based on the value of the prohibited payments. The new provisions are set to take effect on August 1, 2024, and will apply to crimes committed on or after that date.

Statutes affected:
Introduction: 245E.02, 256.98, 256B.12
1st Engrossment: 245E.02, 256.98, 256B.12