Senate approves funding for home and community-based service providers

The Minnesota Senate recently approved a health and human services budget that captures federal funding to provide a boost to home and community-based services providers. Home and community-based services (HCBS) provide opportunities for at-risk individuals to receive services in their own home or community rather than institutions or other isolated settings. These programs serve a variety of priority groups, such as people with intellectual or developmental disabilities, physical disabilities, and/or mental illnesses.

“Providers of these critical services were struggling even before Covid-19 hit,” said Senator Carla Nelson (R-Rochester). “They have had to navigate challenge after challenge: crisis-level staffing shortages, funding stresses, and increased expenses in personal protective equipment and hazard pay, as well as a constantly evolving regulatory landscape and changing public health guidances. Home and community-based service providers have barely been surviving, and I am so excited they are finally getting this influx of support.”

The federal American Rescue Act provided a temporary 10% increase in federal medical assistance percentage (FMAP) payments for home and community-based service providers. 

Providers eligible for the increased payments included enrolled medical assistance providers of the following services:

  • Services provided under the elderly waiver
  • Services provided under the alternative care program
  • Services offered under disability waivers
  • House stabilization services
  • Targeted case management services
  • Rehabilitative services
Menu