The bill focuses on enhancing the integrity of human services programs by introducing new definitions and provisions related to administrative disqualifications for child care providers accused of intentional program violations, including receiving or providing kickbacks. It outlines the appeal process for these disqualifications and specifies penalties for guilty providers, such as disqualification from receiving payments for a designated period. Additionally, the bill amends existing statutes to broaden the scope of prohibited hiring practices and clarifies legal representation for prosecuting violations in human services programs.

Moreover, the legislation establishes new regulations regarding prohibited payments in federal health care and state behavioral health programs, defining illegal remuneration and setting criminal penalties for those involved in such practices. It includes exemptions for legitimate payments made by employers to employees and financial assistance to families. The bill also introduces sentencing guidelines for violations, allowing for the aggregation of benefits received over six months for prosecution. Claims arising from these violations are deemed noncompensable and classified as false or fraudulent. The provisions will take effect on August 1, 2025, applying to crimes committed on or after that date.

Statutes affected:
Introduction: 142E.51, 245C.05, 245C.08, 245C.22, 256.98, 256B.12, 480.40