SF 2640 Minnesota Senate · 2025-2026 Regular Session

Community first services and supports reimbursement rates modifications provision, certain consumer-directed community supports budgets increase provision, Minnesota Caregiver Defined Contribution Retirement Fund Trust establishment provision, and appropriation

This bill increases reimbursement rates for certain direct support services in Minnesota. It raises the rate for personal care assistants and Community First Services and Supports (CFSS) providers serving clients needing 10+ hours daily from 107.5% to 112.5% (effective 2026), requiring all additional revenue to fund wages and wage-related costs - not other benefits. It also establishes a new Minnesota Caregiver Defined Contribution Retirement Fund Trust, where the state contributes to retirement plans for union-represented direct support workers. These changes apply to providers working under specific programs and collective bargaining agreements. The bill appropriates funds to implement these rate modifications and retirement trust provisions.
Bill status in committee 1 of 4 stages cleared
Introduction
Mar 2025
Committee Review
Floor Vote
Governor
Introduced Mar 17, 2025 Last action Apr 1, 2025
Maddy AI version diff · 1 comparison

What changed between versions

Introduction 1st Engrossment · 4 edits · Apr 1, 2025
MODERATE
The bill was updated to its first engrossment version, reflecting changes made during the legislative process. The most significant substantive change involves the health care cost stipends, which were expanded from a one-time payment to an annual benefit available for two fiscal years. Additionally, the orientation program funding was restructured to include ongoing costs rather than just start-up grants, and the creation of a new retirement trust was changed from a direct disbursement to a contract with a vendor.
Scope change
The bill's scope regarding the health care stipend program was expanded to cover two fiscal years instead of one, and the orientation program now explicitly includes ongoing costs.
FISCAL

Health care cost stipends changed from a single one-time payment to an annual stipend available once per fiscal year for 2026 and 2027.

Orientation program funding was restructured to allocate money for ongoing costs in both 2026 and 2027, replacing the previous focus on start-up grants and one-time payments.

REQUIREMENT

The creation of the Minnesota Caregiver Defined Contribution Retirement Fund Trust was changed from a direct disbursement by the commissioner to a contract with an external vendor.

DEFINITION

The orientation program is now explicitly defined by the terms of the SEIU collective bargaining agreement.

Floor votes

How they voted

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Full legislative history

Actions timeline

Total actions
3
Key actions
1
Committee
2
Apr 1, 2025
Upper · Passed
Comm report: To pass as amended and re-refer to State and Local Government
upper
Mar 17, 2025
Committee
Referred to Human Services
upper
Mar 17, 2025
Introduced
Introduction and first reading
upper
1 primary · 2 co-sponsors

Sponsors