1.1.................... moves to amend H.F. No. 1967 as follows:
1.2Page 1, after line 14, insert:

1.3"ARTICLE 1
1.4CHILDREN AND FAMILIES POLICY PROVISIONS"
1.5Page 59, after line 29, insert:

1.6"ARTICLE 2
1.7CHILD CARE

1.8    Section 1. Minnesota Statutes 2010, section 119B.09, subdivision 7, is amended to read:
1.9    Subd. 7. Date of eligibility for assistance. (a) The date of eligibility for child care
1.10assistance under this chapter is the later of the date the application was signed received by
1.11the county; the beginning date of employment, education, or training; the date the infant is
1.12born for applicants to the at-home infant care program; or the date a determination has
1.13been made that the applicant is a participant in employment and training services under
1.14Minnesota Rules, part 3400.0080, or chapter 256J.
1.15    (b) Payment ceases for a family under the at-home infant child care program when a
1.16family has used a total of 12 months of assistance as specified under section 119B.035.
1.17Payment of child care assistance for employed persons on MFIP is effective the date of
1.18employment or the date of MFIP eligibility, whichever is later. Payment of child care
1.19assistance for MFIP or DWP participants in employment and training services is effective
1.20the date of commencement of the services or the date of MFIP or DWP eligibility,
1.21whichever is later. Payment of child care assistance for transition year child care must be
1.22made retroactive to the date of eligibility for transition year child care.
1.23(c) Notwithstanding paragraph (b), payment of child care assistance for participants
1.24eligible under section 119B.05 may only be made retroactive for a maximum of six
1.25months from the date of application for child care assistance.

2.1    Sec. 2. Minnesota Statutes 2010, section 119B.12, subdivision 1, is amended to read:
2.2    Subdivision 1. Fee schedule. All changes to parent fees must be implemented on
2.3the first Monday of the service period following the effective date of the change.
2.4    PARENT FEE SCHEDULE. The parent fee schedule is as follows, except as noted
2.5in subdivision 2:
2.6
2.7
2.8
Income Range (as a percent of the state
median income, except at the start of the
first tier)
Co-payment (as a percentage of adjusted
gross income)
2.9
0-74.99% of federal poverty guidelines
$0/month biweekly
2.10
75.00-99.99% of federal poverty guidelines
$5/month $2/biweekly
2.11
2.12
100.00% of federal poverty
guidelines-27.72%
2.61%
2.13
27.73-29.04%
2.61%
2.14
29.05-30.36%
2.61%
2.15
30.37-31.68%
2.61%
2.16
31.69-33.00%
2.91%
2.17
33.01-34.32%
2.91%
2.18
34.33-35.65%
2.91%
2.19
35.66-36.96%
2.91%
2.20
36.97-38.29%
3.21%
2.21
38.30-39.61%
3.21%
2.22
39.62-40.93%
3.21%
2.23
40.94-42.25%
3.84%
2.24
42.26-43.57%
3.84%
2.25
43.58-44.89%
4.46%
2.26
44.90-46.21%
4.76%
2.27
46.22-47.53%
5.05%
2.28
47.54-48.85%
5.65%
2.29
48.86-50.17%
5.95%
2.30
50.18-51.49%
6.24%
2.31
51.50-52.81%
6.84%
2.32
52.82-54.13%
7.58%
2.33
54.14-55.45%
8.33%
2.34
55.46-56.77%
9.20%
2.35
56.78-58.09%
10.07%
2.36
58.10-59.41%
10.94%
2.37
59.42-60.73%
11.55%
2.38
60.74-62.06%
12.16%
2.39
62.07-63.38%
12.77%
2.40
63.39-64.70%
13.38%
2.41
64.71-66.99 67.00%
14.00%
2.42
Greater than 67.00%
ineligible
3.1    A family's monthly biweekly co-payment fee is the fixed percentage established for
3.2the income range multiplied by the highest possible income within that income range.

3.3    Sec. 3. Minnesota Statutes 2010, section 119B.12, subdivision 2, is amended to read:
3.4    Subd. 2. Parent fee. A family must be assessed a parent fee for each service period.
3.5A family's parent fee must be a fixed percentage of its annual gross income. Parent fees
3.6must apply to families eligible for child care assistance under sections 119B.03 and
3.7119B.05 . Income must be as defined in section 119B.011, subdivision 15. The fixed
3.8percent is based on the relationship of the family's annual gross income to 100 percent
3.9of the annual state median income. Parent fees must begin at 75 percent of the poverty
3.10level. The minimum parent fees for families between 75 percent and 100 percent of
3.11poverty level must be $5 per month $2 per biweekly period. Parent fees must provide
3.12for graduated movement to full payment. Payment of part or all of a family's parent
3.13fee directly to the family's child care provider on behalf of the family by a source other
3.14than the family shall not affect the family's eligibility for child care assistance, and the
3.15amount paid shall be excluded from the family's income. Child care providers who accept
3.16third-party payments must maintain family specific documentation of payment source,
3.17amount, and time period covered by the payment.

3.18    Sec. 4. Minnesota Statutes 2010, section 119B.125, subdivision 1a, is amended to read:
3.19    Subd. 1a. Background study required. This subdivision only applies to legal,
3.20nonlicensed family child care providers. Prior to authorization, and as part of each
3.21reauthorization required in subdivision 1, the county shall perform a background study on
3.22every member of the provider's household who is age 13 and older. The background study
3.23shall be conducted according to the procedures under subdivision 2. The county shall also
3.24perform a background study on an individual who has reached age ten but is not yet age
3.2513 and is living in the household where the nonlicensed child care will be provided when
3.26the county has reasonable cause as defined under section 245C.02, subdivision 15.

3.27    Sec. 5. Minnesota Statutes 2010, section 119B.125, subdivision 2, is amended to read:
3.28    Subd. 2. Persons who cannot be authorized. (a) When any member of the
3.29legal, nonlicensed family child care provider's household meets any of the conditions
3.30under paragraphs (b) to (n), the provider must not be authorized as a legal nonlicensed
3.31family child care provider. To determine whether any of the listed conditions exist, the
3.32county must request information about the provider and other household members for
3.33whom a background study is required under subdivision 1a from the Bureau of Criminal
4.1Apprehension, the juvenile courts, and social service agencies. When one of the listed
4.2entities does not maintain information on a statewide basis, the county must contact
4.3the entity in the county where the provider resides and any other county in which the
4.4provider or any household member previously resided in the past year. For purposes of
4.5this subdivision, a finding that a delinquency petition is proven in juvenile court must be
4.6considered a conviction in state district court. The provider seeking authorization under
4.7this section shall collect the information required under section 245C.05, subdivision 1,
4.8and forward the information to the county agency. The background study must include
4.9a review of the information required under section 245C.08, subdivisions 2, 3, and 4,
4.10paragraph (b). A nonlicensed family child care provider is not authorized under this
4.11section if any household member who is the subject of a background study is determined
4.12to have a disqualifying characteristic under paragraphs (b) to (e) or under section 245C.14
4.13or 245C.15. If a county has determined that a provider is able to be authorized in that
4.14county, and a family in another county later selects that provider, the provider is able to
4.15be authorized in the second county without undergoing a new background investigation
4.16unless one of the following conditions exists:
4.17    (1) two years have passed since the first authorization;
4.18    (2) another person age 13 or older has joined the provider's household since the
4.19last authorization;
4.20    (3) a current household member has turned 13 since the last authorization; or
4.21    (4) there is reason to believe that a household member has a factor that prevents
4.22authorization.
4.23    (b) The person has been convicted of one of the following offenses or has admitted to
4.24committing or a preponderance of the evidence indicates that the person has committed an
4.25act that meets the definition of one of the following offenses: sections 609.185 to 609.195,
4.26murder in the first, second, or third degree; 609.2661 to 609.2663, murder of an unborn
4.27child in the first, second, or third degree; 609.322, solicitation, inducement, promotion
4.28of prostitution, or receiving profit from prostitution; 609.342 to 609.345, criminal sexual
4.29conduct in the first, second, third, or fourth degree; 609.352, solicitation of children to
4.30engage in sexual conduct; 609.365, incest; 609.377, felony malicious punishment of a
4.31child; 617.246, use of minors in sexual performance; 617.247, possession of pictorial
4.32representation of a minor; 609.2242 to 609.2243, felony domestic assault; a felony offense
4.33of spousal abuse; a felony offense of child abuse or neglect; a felony offense of a crime
4.34against children; or an attempt or conspiracy to commit any of these offenses as defined in
4.35Minnesota Statutes; or an offense in any other state or country where the elements are
4.36substantially similar to any of the offenses listed in this paragraph.
5.1    (c) Less than 15 years have passed since the discharge of the sentence imposed for
5.2the offense and the person has received a felony conviction for one of the following
5.3offenses, or the person has admitted to committing or a preponderance of the evidence
5.4indicates that the person has committed an act that meets the definition of a felony
5.5conviction for one of the following offenses: sections 609.20 to 609.205, manslaughter
5.6in the first or second degree; 609.21, criminal vehicular homicide; 609.215, aiding
5.7suicide or aiding attempted suicide; 609.221 to 609.2231, assault in the first, second,
5.8third, or fourth degree; 609.224, repeat offenses of fifth-degree assault; 609.228, great
5.9bodily harm caused by distribution of drugs; 609.2325, criminal abuse of a vulnerable
5.10adult; 609.2335, financial exploitation of a vulnerable adult; 609.235, use of drugs to
5.11injure or facilitate a crime; 609.24, simple robbery; 617.241, repeat offenses of obscene
5.12materials and performances; 609.245, aggravated robbery; 609.25, kidnapping; 609.255,
5.13false imprisonment; 609.2664 to 609.2665, manslaughter of an unborn child in the first or
5.14second degree; 609.267 to 609.2672, assault of an unborn child in the first, second, or third
5.15degree; 609.268, injury or death of an unborn child in the commission of a crime; 609.27,
5.16coercion; 609.275, attempt to coerce; 609.324, subdivision 1, other prohibited acts, minor
5.17engaged in prostitution; 609.3451, repeat offenses of criminal sexual conduct in the fifth
5.18degree; 609.378, neglect or endangerment of a child; 609.52, theft; 609.521, possession of
5.19shoplifting gear; 609.561 to 609.563, arson in the first, second, or third degree; 609.582,
5.20burglary in the first, second, third, or fourth degree; 609.625, aggravated forgery; 609.63,
5.21forgery; 609.631, check forgery, offering a forged check; 609.635, obtaining signature
5.22by false pretenses; 609.66, dangerous weapon; 609.665, setting a spring gun; 609.67,
5.23unlawfully owning, possessing, or operating a machine gun; 609.687, adulteration; 609.71,
5.24riot; 609.713, terrorist threats; 609.749, stalking; 260C.301, termination of parental rights;
5.25152.021 to 152.022 and 152.0262, controlled substance crime in the first or second degree;
5.26152.023, subdivision 1, clause (3) or (4), or 152.023, subdivision 2, clause (4), controlled
5.27substance crime in third degree; 152.024, subdivision 1, clause (2), (3), or (4), controlled
5.28substance crime in fourth degree; 617.23, repeat offenses of indecent exposure; an attempt
5.29or conspiracy to commit any of these offenses as defined in Minnesota Statutes; or an
5.30offense in any other state or country where the elements are substantially similar to any of
5.31the offenses listed in this paragraph.
5.32    (d) Less than ten years have passed since the discharge of the sentence imposed for
5.33the offense and the person has received a gross misdemeanor conviction for one of the
5.34following offenses or the person has admitted to committing or a preponderance of the
5.35evidence indicates that the person has committed an act that meets the definition of a gross
5.36misdemeanor conviction for one of the following offenses: sections 609.224, fifth-degree
6.1assault; 609.2242 to 609.2243, domestic assault; 518B.01, subdivision 14, violation of
6.2an order for protection; 609.3451, fifth-degree criminal sexual conduct; 609.746, repeat
6.3offenses of interference with privacy; 617.23, repeat offenses of indecent exposure;
6.4617.241, obscene materials and performances; 617.243, indecent literature, distribution;
6.5617.293, disseminating or displaying harmful material to minors; 609.71, riot; 609.66,
6.6dangerous weapons; 609.749, stalking; 609.224, subdivision 2, paragraph (c), fifth-degree
6.7assault against a vulnerable adult by a caregiver; 609.23, mistreatment of persons
6.8confined; 609.231, mistreatment of residents or patients; 609.2325, criminal abuse of a
6.9vulnerable adult; 609.2335, financial exploitation of a vulnerable adult; 609.233, criminal
6.10neglect of a vulnerable adult; 609.234, failure to report maltreatment of a vulnerable adult;
6.11609.72, subdivision 3, disorderly conduct against a vulnerable adult; 609.265, abduction;
6.12609.378, neglect or endangerment of a child; 609.377, malicious punishment of a child;
6.13609.324, subdivision 1a, other prohibited acts, minor engaged in prostitution; 609.33,
6.14disorderly house; 609.52, theft; 609.582, burglary in the first, second, third, or fourth
6.15degree; 609.631, check forgery, offering a forged check; 609.275, attempt to coerce; an
6.16attempt or conspiracy to commit any of these offenses as defined in Minnesota Statutes; or
6.17an offense in any other state or country where the elements are substantially similar to
6.18any of the offenses listed in this paragraph.
6.19    (e) Less than seven years have passed since the discharge of the sentence imposed
6.20for the offense and the person has received a misdemeanor conviction for one of the
6.21following offenses or the person has admitted to committing or a preponderance of the
6.22evidence indicates that the person has committed an act that meets the definition of a
6.23misdemeanor conviction for one of the following offenses: sections 609.224, fifth-degree
6.24assault; 609.2242, domestic assault; 518B.01, violation of an order for protection;
6.25609.3232, violation of an order for protection; 609.746, interference with privacy; 609.79,
6.26obscene or harassing telephone calls; 609.795, letter, telegram, or package opening,
6.27harassment; 617.23, indecent exposure; 609.2672, assault of an unborn child, third degree;
6.28617.293, dissemination and display of harmful materials to minors; 609.66, dangerous
6.29weapons; 609.665, spring guns; an attempt or conspiracy to commit any of these offenses
6.30as defined in Minnesota Statutes; or an offense in any other state or country where the
6.31elements are substantially similar to any of the offenses listed in this paragraph.
6.32    (f) The person has been identified by the child protection agency in the county where
6.33the provider resides or a county where the provider has resided or by the statewide child
6.34protection database as a person found by a preponderance of evidence under section
6.35626.556 to be responsible for physical or sexual abuse of a child within the last seven years.
7.1    (g) The person has been identified by the adult protection agency in the county
7.2where the provider resides or a county where the provider has resided or by the statewide
7.3adult protection database as the person responsible for abuse or neglect of a vulnerable
7.4adult within the last seven years.
7.5    (h) (b) The person has refused to give written consent for disclosure of criminal
7.6history records.
7.7    (i) (c) The person has been denied a family child care license or has received a fine
7.8or a sanction as a licensed child care provider that has not been reversed on appeal.
7.9    (j) (d) The person has a family child care licensing disqualification that has not
7.10been set aside.
7.11    (k) (e) The person has admitted or a county has found that there is a preponderance
7.12of evidence that fraudulent information was given to the county for child care assistance
7.13application purposes or was used in submitting child care assistance bills for payment.
7.14    (l) The person has been convicted of the crime of theft by wrongfully obtaining
7.15public assistance or has been found guilty of wrongfully obtaining public assistance by a
7.16federal court, state court, or an administrative hearing determination or waiver, through a
7.17disqualification consent agreement, as part of an approved diversion plan under section
7.18401.065, or a court-ordered stay with probationary or other conditions.
7.19    (m) The person has a household member age 13 or older who has access to children
7.20during the hours that care is provided and who meets one of the conditions listed in
7.21paragraphs (b) to (l).
7.22    (n) The person has a household member ages ten to 12 who has access to children
7.23during the hours that care is provided; information or circumstances exist which provide
7.24the county with articulable suspicion that further pertinent information may exist showing
7.25the household member meets one of the conditions listed in paragraphs (b) to (l); and the
7.26household member actually meets one of the conditions listed in paragraphs (b) to (l).

7.27    Sec. 6. Minnesota Statutes 2010, section 119B.125, subdivision 6, is amended to read:
7.28    Subd. 6. Record-keeping requirement. All providers receiving child care
7.29assistance payments must keep daily attendance records for children receiving child care
7.30assistance and must make those records available immediately to the county upon request.
7.31The attendance records must be completed daily and include the date, the first and last
7.32name of each child in attendance, and the times when each child is dropped off and picked
7.33up. To the extent possible, the times that the child was dropped off to and picked up from
7.34the child care provider must be entered by the person dropping off or picking up the child.
7.35The daily attendance records must be retained for six years after the date of service.
8.1A county may deny authorization as a child care provider to any applicant or rescind
8.2authorization of any provider when the county knows or has reason to believe that the
8.3provider has not complied with the record-keeping requirement in this subdivision.

8.4    Sec. 7. Minnesota Statutes 2011 Supplement, section 119B.13, subdivision 1, is
8.5amended to read:
8.6    Subdivision 1. Subsidy restrictions. (a) Beginning October 31, 2011, the maximum
8.7rate paid for child care assistance in any county or multicounty region under the child care
8.8fund shall be the rate for like-care arrangements in the county effective July 1, 2006,
8.9decreased by 2.5 percent.
8.10    (b) Every year Biennially beginning in 2012, the commissioner shall survey rates
8.11charged by child care providers in Minnesota to determine the 75th percentile for
8.12like-care arrangements in counties. When the commissioner determines that, using the
8.13commissioner's established protocol, the number of providers responding to the survey is
8.14too small to determine the 75th percentile rate for like-care arrangements in a county or
8.15multicounty region, the commissioner may establish the 75th percentile maximum rate
8.16based on like-care arrangements in a county, region, or category that the commissioner
8.17deems to be similar.
8.18    (c) A rate which includes a special needs rate paid under subdivision 3 or under a
8.19school readiness service agreement paid under section 119B.231, may be in excess of the
8.20maximum rate allowed under this subdivision.
8.21    (d) The department shall monitor the effect of this paragraph on provider rates. The
8.22county shall pay the provider's full charges for every child in care up to the maximum
8.23established. The commissioner shall determine the maximum rate for each type of care
8.24on an hourly, full-day, and weekly basis, including special needs and disability care. The
8.25maximum payment to a provider for one day of care must not exceed the daily rate. The
8.26maximum payment to a provider for one week of care must not exceed the weekly rate.
8.27(e) Child care providers receiving reimbursement under this chapter must not be
8.28paid activity fees or an additional amount above the maximum rates for care provided
8.29during nonstandard hours for families receiving assistance.
8.30    (f) When the provider charge is greater than the maximum provider rate allowed,
8.31the parent is responsible for payment of the difference in the rates in addition to any
8.32family co-payment fee.
8.33    (g) All maximum provider rates changes shall be implemented on the Monday
8.34following the effective date of the maximum provider rate.

9.1    Sec. 8. Minnesota Statutes 2010, section 119B.13, subdivision 6, is amended to read:
9.2    Subd. 6. Provider payments. (a) The provider shall bill for services provided
9.3within ten days of the end of the service period. If bills are submitted within ten days of
9.4the end of the service period, payments under the child care fund shall be made within 30
9.5days of receiving a bill from the provider. Counties or the state may establish policies that
9.6make payments on a more frequent basis.
9.7(b) If a provider has received an authorization of care and been issued a billing form
9.8for an eligible family, the bill must be submitted within 60 days of the last date of service
9.9on the bill. A bill submitted more than 60 days after the last date of service must be
9.10paid if the county determines that the provider has shown good cause why the bill was
9.11not submitted within 60 days. Good cause must be defined in the county's child care
9.12fund plan under section 119B.08, subdivision 3, and the definition of good cause must
9.13include county error. Any bill submitted more than a year after the last date of service on
9.14the bill must not be paid.
9.15(c) If a provider provided care for a time period without receiving an authorization
9.16of care and a billing form for an eligible family, payment of child care assistance may only
9.17be made retroactively for a maximum of six months from the date the provider is issued
9.18an authorization of care and billing form.
9.19(d) A county may refuse to issue a child care authorization to a licensed or legal
9.20nonlicensed provider, revoke an existing child care authorization to a licensed or legal
9.21nonlicensed provider, stop payment issued to a licensed or legal nonlicensed provider, or
9.22may refuse to pay a bill submitted by a licensed or legal nonlicensed provider if:
9.23(1) the provider admits to intentionally giving the county materially false information
9.24on the provider's billing forms; or
9.25(2) a county finds by a preponderance of the evidence that the provider intentionally
9.26gave the county materially false information on the provider's billing forms.;
9.27(3) the provider is in violation of licensing or child care assistance program rules and
9.28the provider has not corrected the violation;
9.29(4) the provider submits false attendance reports or refuses to provide documentation
9.30of the child's attendance upon request; or
9.31(5) the provider gives false child care price information.
9.32(e) A county's payment policies must be included in the county's child care plan
9.33under section 119B.08, subdivision 3. If payments are made by the state, in addition to
9.34being in compliance with this subdivision, the payments must be made in compliance
9.35with section 16A.124.

10.1    Sec. 9. CHILD CARE ASSISTANCE PROGRAM RULE CHANGE.
10.2The commissioner shall amend Minnesota Rules, part 3400.0035, subpart 2, to
10.3remove the requirement that applications must be submitted by mail or delivered to the
10.4agency within 15 calendar days after the date of signature. The commissioner shall
10.5comply with Minnesota Statutes, section 14.389, in adopting the amendment.

10.6ARTICLE 3
10.7SIMPLIFICATION OF MFIP AND DWP

10.8    Section 1. Minnesota Statutes 2010, section 256J.08, subdivision 11, is amended to
10.9read:
10.10    Subd. 11. Caregiver. "Caregiver" means a minor child's natural birth or adoptive
10.11parent or parents and stepparent who live in the home with the minor child. For purposes
10.12of determining eligibility for this program, caregiver also means any of the following
10.13individuals, if adults, who live with and provide care and support to a minor child when
10.14the minor child's natural birth or adoptive parent or parents or stepparents do not reside
10.15in the same home: legal custodian or guardian, grandfather, grandmother, brother, sister,
10.16half brother, half sister, stepbrother, stepsister, uncle, aunt, first cousin or first cousin once
10.17removed, nephew, niece, person of preceding generation as denoted by prefixes of "great,"
10.18"great-great," or "great-great-great," or a spouse of any person named in the above groups
10.19even after the marriage ends by death or divorce.

10.20    Sec. 2. Minnesota Statutes 2010, section 256J.24, subdivision 2, is amended to read:
10.21    Subd. 2. Mandatory assistance unit composition. Except for minor caregivers
10.22and their children who must be in a separate assistance unit from the other persons in
10.23the household, when the following individuals live together, they must be included in
10.24the assistance unit:
10.25(1) a minor child, including a pregnant minor;
10.26(2) the minor child's minor siblings, minor half siblings, and minor stepsiblings;
10.27(3) the minor child's natural birth parents, adoptive parents, and stepparents; and
10.28(4) the spouse of a pregnant woman.
10.29A minor child must have a caregiver for the child to be included in the assistance unit.

10.30    Sec. 3. Minnesota Statutes 2010, section 256J.32, subdivision 6, is amended to read:
10.31    Subd. 6. Recertification. (a) The county agency shall recertify eligibility in an
10.32annual face-to-face interview with the participant and. The county agency may waive the
11.1face-to-face interview and conduct a phone interview for participants who qualify under
11.2paragraph (b). During the interview the county agency shall verify the following:
11.3    (1) presence of the minor child in the home, if questionable;
11.4    (2) income, unless excluded, including self-employment expenses used as a
11.5deduction or deposits or withdrawals from business accounts;
11.6    (3) assets when the value is within $200 of the asset limit;
11.7    (4) information to establish an exception under section 256J.24, subdivision 9, if
11.8questionable;
11.9    (5) inconsistent information, if related to eligibility; and
11.10    (6) whether a single caregiver household meets requirements in section 256J.575,
11.11subdivision 3.
11.12(b) A participant who is employed any number of hours must be given the option of
11.13conducting a face-to-face or phone interview to recertify eligibility. The participant must
11.14be employed at the time the interview is scheduled. If the participant loses the participant's
11.15job between the time the interview is scheduled and when it is to be conducted, the phone
11.16interview may still be conducted.
11.17EFFECTIVE DATE.This section is effective October 1, 2012.

11.18    Sec. 4. Minnesota Statutes 2010, section 256J.621, is amended to read:
11.19256J.621 WORK PARTICIPATION CASH BENEFITS.
11.20    (a) Effective October 1, 2009, upon exiting the diversionary work program (DWP)
11.21or upon terminating the Minnesota family investment program with earnings, a participant
11.22who is employed may be eligible for work participation cash benefits of $25 per month
11.23to assist in meeting the family's basic needs as the participant continues to move toward
11.24self-sufficiency.
11.25    (b) To be eligible for work participation cash benefits, the participant shall not
11.26receive MFIP or diversionary work program assistance during the month and the
11.27participant or participants must meet the following work requirements:
11.28    (1) if the participant is a single caregiver and has a child under six years of age, the
11.29participant must be employed at least 87 hours per month;
11.30    (2) if the participant is a single caregiver and does not have a child under six years of
11.31age, the participant must be employed at least 130 hours per month; or
11.32    (3) if the household is a two-parent family, at least one of the parents must be
11.33employed an average of at least 130 hours per month.
12.1    Whenever a participant exits the diversionary work program or is terminated from
12.2MFIP and meets the other criteria in this section, work participation cash benefits are
12.3available for up to 24 consecutive months.
12.4    (c) Expenditures on the program are maintenance of effort state funds under
12.5a separate state program for participants under paragraph (b), clauses (1) and (2).
12.6Expenditures for participants under paragraph (b), clause (3), are nonmaintenance of effort
12.7funds. Months in which a participant receives work participation cash benefits under this
12.8section do not count toward the participant's MFIP 60-month time limit.

12.9    Sec. 5. Minnesota Statutes 2010, section 256J.68, subdivision 7, is amended to read:
12.10    Subd. 7. Exclusive procedure. The procedure established by this section is
12.11exclusive of all other legal, equitable, and statutory remedies against the state, its political
12.12subdivisions, or employees of the state or its political subdivisions. The claimant shall
12.13not be entitled to seek damages from any state, county, tribal, or reservation insurance
12.14policy or self-insurance program. A provider who accepts or agrees to accept an injury
12.15protection program payment for services provided to an individual must not require any
12.16payment from the individual.

12.17    Sec. 6. Minnesota Statutes 2010, section 256J.95, subdivision 3, is amended to read:
12.18    Subd. 3. Eligibility for diversionary work program. (a) Except for the categories
12.19of family units listed below in clauses (1) to (8), all family units who apply for cash
12.20benefits and who meet MFIP eligibility as required in sections 256J.11 to 256J.15 are
12.21eligible and must participate in the diversionary work program. Family units or individuals
12.22that are not eligible for the diversionary work program include:
12.23    (1) child only cases;
12.24    (2) a single-parent family unit units that includes include a child under 12 months of
12.25age. A parent is eligible for this exception once in a parent's lifetime;
12.26    (3) family units with a minor parent without a high school diploma or its equivalent;
12.27    (4) family units with an 18- or 19-year-old caregiver without a high school diploma
12.28or its equivalent who chooses to have an employment plan with an education option;
12.29    (5) a caregiver age 60 or over;
12.30    (6) (5) family units with a caregiver who received DWP benefits in within the 12
12.31months prior to the month the family applied for DWP, except as provided in paragraph (c);
12.32    (7) (6) family units with a caregiver who received MFIP within the 12 months prior
12.33to the month the family unit applied for DWP;
13.1    (8) a (7) family unit units with a caregiver who received 60 or more months of
13.2TANF assistance; and
13.3    (9) (8) family units with a caregiver who is disqualified from the work participation
13.4cash benefit program, DWP, or MFIP due to fraud; and.
13.5    (10) refugees and asylees as defined in Code of Federal Regulations, title 45, part
13.6400, subpart d, section 400.43, who arrived in the United States in the 12 months prior to
13.7the date of application for family cash assistance.
13.8    (b) A two-parent family must participate in DWP unless both caregivers meet the
13.9criteria for an exception under paragraph (a), clauses (1) through (5), or the family unit
13.10includes a parent who meets the criteria in paragraph (a), clause (6), (7), (8), (9), or (10).
13.11    (c) Once DWP eligibility is determined, the four months run consecutively. If a
13.12participant leaves the program for any reason and reapplies during the four-month period,
13.13the county must redetermine eligibility for DWP."
13.14Renumber the sections in sequence and correct the internal references
13.15Amend the title accordingly