1.1.................... moves to amend H.F. No. 1992 as follows:
1.2Delete everything after the enacting clause and insert:

1.3    "Section 1. Minnesota Statutes 2013 Supplement, section 256B.492, is amended to read:
1.6    Subdivision 1. Home and community-based waivers. (a) Individuals receiving
1.7services under a home and community-based waiver under section 256B.092 or 256B.49
1.8may receive services in the following settings:
1.9(1) an individual's own home or family home;
1.10(2) a licensed adult foster care or child foster care setting of up to five people; and
1.11(3) community living settings as defined in section 256B.49, subdivision 23, where
1.12individuals with disabilities may reside in all of the units in a building of four or fewer
1.13units, and no more than the greater of four or 25 percent of the units in a multifamily
1.14building of more than four units, unless required by the Housing Opportunities for Persons
1.15with AIDS Program.
1.16(b) The settings in paragraph (a) must not:
1.17(1) be located in a building that is a publicly or privately operated facility that
1.18provides institutional treatment or custodial care;
1.19(2) be located in a building on the grounds of or adjacent to a public or private
1.21(3) be a housing complex designed expressly around an individual's diagnosis or
1.22disability, unless required by the Housing Opportunities for Persons with AIDS Program;
1.23(4) be segregated based on a disability, either physically or because of setting
1.24characteristics, from the larger community; and
1.25(5) have the qualities of an institution which include, but are not limited to:
1.26regimented meal and sleep times, limitations on visitors, and lack of privacy. Restrictions
2.1agreed to and documented in the person's individual service plan shall not result in a
2.2residence having the qualities of an institution as long as the restrictions for the person are
2.3not imposed upon others in the same residence and are the least restrictive alternative,
2.4imposed for the shortest possible time to meet the person's needs.
2.5(c) The provisions of paragraphs (a) and (b) do not apply to any setting in which
2.6individuals receive services under a home and community-based waiver as of July 1,
2.72012, and the setting does not meet the criteria of this section.
2.8(d) Notwithstanding paragraph (c), a program in Hennepin County established as
2.9part of a Hennepin County demonstration project is qualified for the exception allowed
2.10under paragraph (c).
2.11(e) The commissioner shall submit an amendment to the waiver plan no later than
2.12December 31, 2012.
2.13    Subd. 2. Exceptions for home and community-based waiver housing programs.
2.14(a) Beginning no later than January 2015, the commissioner shall accept and process
2.15applications for exceptions to subdivision 1 based on the criteria in this subdivision.
2.16(b) An owner, operator, or developer of a community living setting may apply to
2.17the commissioner for the granting of an exception from the requirement in subdivision 1,
2.18paragraph (a)(3), that individuals receiving services under a home and community-based
2.19waiver under sections 256B.092 or 256B.49 may only reside in all of the units in a
2.20building of four or fewer units, and no more than the greater of four or 25 percent of
2.21the units in a multifamily building of more than four units and from the requirement in
2.22subdivision 1, paragraph (b)(3), that a setting cannot be a housing complex designed
2.23expressly around an individual's diagnosis or disability. Such an exception from the
2.24requirements in subdivision 1, paragraphs (a)(3) and (b)(3) may be granted when the
2.25organization requesting the exception submits to the commissioner an application
2.26providing the information requested in subdivision 2, paragraph (c).
2.27(c) A community living setting application for an exemption must provide the
2.28following information and affirmations:
2.29(1) affirms the community living setting materially meets all the requirements for
2.30home and community-based settings in paragraph (b) other than (b)(3);
2.31(2) explains the scope and necessity of the exception, including documentation of the
2.32demand for the number of units the applicant anticipates will be occupied by individuals
2.33receiving services under a home and community-based waiver in the proposed setting;
2.34(3) explains how the community living setting supports all individuals receiving
2.35services under a home and community-based waiver in choosing the setting from among
2.36other options; and
3.1(4) includes a quality assurance plan affirming that the organization requesting
3.2the exception:
3.3(i) supports or develops scattered site alternatives to the setting for which the
3.4exception is requested;
3.5(ii) supports the transition of individuals receiving services under a home and
3.6community-based waiver to the most integrated setting appropriate to the individual's
3.8(iii) has a history of meeting recognized quality standards for the population it serves
3.9or is targeting, or that it will meet recognized quality standards;
3.10(iv) provides and facilitates for tenant receiving services under a home and
3.11community-based waiver unlimited access to the community, including opportunities to
3.12interact with nonstaff people without disabilities, appropriate to the individual's needs; and
3.13(v) supports a safe and healthy environment for all individuals living in the setting.
3.14(d) In assessing whether to grant the applicant's exception request, the commissioner
3.16(1) evaluate all of the assertions in the application, verify the assertions are accurate,
3.17and ensure that the application is complete;
3.18(2) consult with all divisions in the Department of Human Services relevant to the
3.19specific populations being served by the applicant and the Minnesota Housing Finance
3.21(3) within 30 days of receiving the application issue a 14-day public comment period
3.22to consider community input on the application, including input from tenants, potential
3.23tenants, and other interested stakeholders;
3.24(4) within 30 days of receiving the application issue an approval, conditional
3.25approval, or denial of the exception sought; and
3.26(5) Accept and process applications from settings throughout the calendar year.
3.27If conditional approval is granted under this section, the commissioner must specify
3.28the reasons for conditional approval of the exception and allow the applicant 30 days
3.29to amend the application and issue a renewed decision within 15 days of receiving the
3.30amended application. If the commissioner denies an exception under this section, the
3.31commissioner must specify reasons for denial of the exception.
3.32(e) If the applicant's exception is approved, the setting must inform the commissioner
3.33of any material changes that occur in the conditions that warranted the approved exception.
3.34Failure to advise the commissioner within 60 days of the material changes may result in
3.35revocation of the exception. Upon a determination by the commissioner that a material
4.1modification has been made, the exception may be suspended and the setting shall have 90
4.2days to correct modifications resulting in the suspension.
4.3(f) If an exception is approved and later revoked, no tenant shall be displaced as a
4.4result of this revocation until a relocation plan has been implemented that provides for an
4.5acceptable alternative placement.
4.6(g) Notwithstanding the above provision, no organization that meets the requirements
4.7under subdivision 1 of this chapter shall be required to apply for an exception described in
4.8subdivision 2.
4.9    Subd. 3. Public input on exception process. No later than January 1, 2015, the
4.10commissioner shall convene a group of interested stakeholders to develop a plan for
4.11implementing the exceptions process described in subdivision 2. The implementation plan
4.12shall include the criteria by which the applications submitted in subdivision 2 of this
4.13section will be evaluated and any other information necessary to manage the exceptions
4.14process. The stakeholders group shall include representatives from each relevant division
4.15of the Department of Human Services, The Coalition for Choice in Housing, NAMI, The
4.16Arc Minnesota, Mental Health Association of Minnesota, Minnesota Disability Law
4.17Center, and any other provider organization, county, disability advocate, and individual
4.18with disabilities or family member of an individual with disabilities."