The bill aims to enhance the funding for residential substance use disorder treatment providers in Minnesota by amending existing statutes. Specifically, it modifies Minnesota Statutes 2024, section 254B.12, subdivision 3, to include a provision that allows for a one percent rate increase for certain substance use disorder services that are not eligible for a previous rate increase. This adjustment is applicable to vendors who meet the requirements outlined in section 254B.05 and is based on the rates in effect as of January 1, 2017.

Additionally, the bill introduces a new subdivision (Subd. 5) to Minnesota Statutes 2024, section 254B.12, which mandates a significant 50 percent increase in payment rates for specific residential substance use disorder services, effective for services provided on or after July 1, 2025. This increase applies to services listed in section 254B.05, subdivision 5, paragraph (b), clauses (1), (6), (8), (9), and (10), and is aimed at supporting vendors who comply with the requirements of section 254B.05, thereby enhancing the financial viability of these critical treatment services.

Statutes affected:
Introduction: 254B.12