SF2522 (Legislative Session 94 (2025-2026))
Certain facilities certain conditions for admission to or continued residence prohibition, assisted living facilities increases in charges review requirement, termination or non-renewal of assisted living contracts on certain grounds prohibition, and assisted living contracts arbitration provisions modifications
Related bill: HF2216
AI Generated Summary
Purpose of the Bill
This legislative proposal addresses regulations around assisted living and nursing home facilities in Minnesota. It seeks to ensure fair treatment of residents in these facilities by imposing restrictions on certain admission and financial practices and modifying arbitration procedures.
Main Provisions
Guardianship Requirement Prohibition: Nursing homes and assisted living facilities are prohibited from requiring residents to have a guardian or conservator as a condition for admission or continued residence.
Pricing and Fee Increases: The bill mandates assisted living facilities to justify any increases in housing and service charges, particularly when the proposed increase exceeds the Consumer Price Index. Facilities must submit detailed cost documentation for approval before implementing such hikes.
Arbitration and Contractual Dispute Resolution: Assisted living facilities must make arbitration optional rather than mandatory. Any arbitration agreement must be clearly outlined in the contract and not be a condition for residency. The agreements must adhere to Minnesota law, and any terms violating these stipulations are deemed void.
Nonrenewal and Termination Clauses: Facilities are barred from terminating or refusing to renew a resident's contract simply because the resident switches from private to public funding. This does not prevent contract termination for nonpayment or contract violations.
Relocation Support: If a facility decides not to renew a resident's housing contract, they must provide 60 days' notice, include the reasons, and assist with relocation planning. Additionally, facilities must involve the Office of Ombudsman for Long-Term Care and other relevant parties in the process.
Significant Changes to Existing Law
- The bill limits conditions under which nursing homes and assisted living facilities can mandate guardianship.
- It establishes oversight on financial decisions impacting residents, particularly with fee increases.
- It reforms how disputes with residents are managed, focusing on making arbitration an optional path.
- It enhances protections against unfair contract terminations related to funding source changes.
Relevant Terms
- Guardianship, Conservator, Assisted Living Facilities, Nursing Homes, Arbitration, Consumer Price Index, Public Funding, Ombudsman, Contract Termination, Relocation Planning.
Actions
| Date | Chamber | Where | Type | Name | Committee Name |
|---|---|---|---|---|---|
| March 12, 2025 | Senate | Floor | Action | Introduction and first reading | |
| March 12, 2025 | Senate | Floor | Action | Referred to | Human Services |
| March 19, 2025 | Senate | Floor | Action | Comm report: Amended, No recommendation, re-referred to | Housing and Homelessness Prevention |
| March 19, 2025 | Senate | Floor | Action | Author added | |
| April 02, 2025 | Senate | Floor | Action | Withdrawn and re-referred to | Human Services |
| April 02, 2025 | Senate | Floor | Action | Withdrawn and re-referred to | Human Services |
Citations
[
{
"analysis": {
"added": [
"Implementation of unannounced surveys for assisted living facilities.",
"Requirement for the commissioner's approval of proposed increases in housing or service charges."
],
"removed": [],
"summary": "This bill amends section 144G.09 related to the regulatory functions concerning assisted living facilities.",
"modified": [
"Details on how often facility licensees should be surveyed (every two years)."
]
},
"citation": "144G.09"
},
{
"analysis": {
"added": [
"Requirements for the new licensee to honor existing contracts post-ownership change."
],
"removed": [],
"summary": "This bill adds regulations under section 144G.19 concerning changes in ownership of assisted living facilities.",
"modified": []
},
"citation": "144G.19"
},
{
"analysis": {
"added": [
"Facility requirement to provide justification for significant charge increases."
],
"removed": [],
"summary": "This bill amends section 144G.40 by adding a new subdivision relating to increases in charges for housing or services.",
"modified": []
},
"citation": "144G.40"
},
{
"analysis": {
"added": [
"Disclosure requirements for arbitration clauses in contracts."
],
"removed": [
"Mandatory arbitration as a condition for residency."
],
"summary": "This bill amends section 144G.51 related to arbitration in assisted living contracts.",
"modified": []
},
"citation": "144G.51"
},
{
"analysis": {
"added": [],
"removed": [],
"summary": "This bill amends section 144G.52 to address impermissible grounds for terminating assisted living contracts.",
"modified": [
"Clarification on prohibitions related to termination due to switch from private to public funding."
]
},
"citation": "144G.52"
},
{
"analysis": {
"added": [
"Requirement for 60-day notice before nonrenewal and assistance with relocation planning."
],
"removed": [],
"summary": "This bill amends section 144G.53 regarding nonrenewal of housing contracts.",
"modified": [
"Procedure details when using either private funds or public funds for service payments."
]
},
"citation": "144G.53"
},
{
"analysis": {
"added": [
"Notice to be provided to the resident's case manager if they receive home and community-based waiver services."
],
"removed": [],
"summary": "Provides coordination with case managers for residents under chapter 256S and section 256B.49 during nonrenewal notice.",
"modified": []
},
"citation": "256B.49"
}
]