SAINT PAUL, Minn. – Today, the Minnesota House Human Services Committee held a hearing on legislation authored by Rep. Jen Schultz (DFL – Duluth), the committee chair, with comprehensive investments and solutions to address Minnesota’s care workforce shortage. Rep. Schultz’s legislation makes $114 million in new, immediate investments toward services for people with disabilities and older Minnesotans, incentives for Minnesotans to join and stay in the direct care workforce, support services for low-wage workers, and a variety of other strategies to combat the workforce crisis.
“In every corner of this state, communities are facing an urgent need for dedicated, compassionate individuals to provide care for people with disabilities, seniors, those experiencing housing insecurity, people with behavioral health conditions, and other vulnerable Minnesotans,” Rep. Schultz said. “This crisis existed well before the pandemic, but right now we’re experiencing an unparalleled shortage of professionals, often called upon to perform work that’s emotionally challenging and physically demanding. Not only do we have an urgent need right now, but we have to prepare ourselves for further demographic shifts in our labor market and an increasingly aging population. House DFLers are stepping forward with solutions to ensure everyone in our state can live in their communities with the care and dignity they deserve.”
Rep. Schultz’s legislation makes several changes to Medical Assistance rates to help providers offer equitable and competitive compensation to retain workers, including a 10.2% increase in Personal Care Assistance and Community First Services and Supports. This funding will help address Minnesota’s challenges in attracting and retaining qualified workers to support more than 40,000 people with disabilities to live in their community. Among other updates and rate increases, the bill updates the Elderly Waiver framework, allowing providers to increase staff wages and compete for direct support workers for Minnesotans who require nursing home-level care but choose to live in the community.
To encourage home and community-based service workers to join and stay in the profession, the bill creates $50 million worth of new incentives for disability, behavioral health, housing, and older adult service providers of public programs. These resources include loan or tuition reimbursement, payment for childcare costs, transportation costs, and direct retention payments.
Many positions in the direct care workforce traditionally have low wages, and Rep. Schultz’s bill contains a variety of measures to support workers in career pathways. The bill creates a demonstration project integrating workforce and support services with post-secondary education, increasing the number of people earning at least a two-year degree in health care occupations. This measure will support partnerships with post-secondary institutions, Adult Basic Education providers, and community-based agencies to provide a wrap-around support structure including housing, income support, child care, and other barriers that prevent people from getting degrees.
Other strategies contained in the bill include resources for matching, recruitment, and retention efforts for people needing direct support, and expansion of a culture of safety initiative at the Department of Human Services to identify systemic influences aimed at decreasing critical incidents.
The committee laid the bill over for future consideration in a broader package of Human Services legislation. Documents and other information from the hearing are available on the committee webpage. Livestream video of the hearing will be available from House Public Information Services’ YouTube channel.