1.1A bill for an act
1.2relating to human services; modifying requirements for the medical assistance
1.3spenddown;amending Minnesota Statutes 2012, section 256B.056, subdivision 5.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

1.5    Section 1. Minnesota Statutes 2012, section 256B.056, subdivision 5, is amended to
1.6read:
1.7    Subd. 5. Excess income. A person who has excess income is eligible for medical
1.8assistance if the person has expenses for medical care that are more than the amount of the
1.9person's excess income, computed by deducting incurred medical expenses from the excess
1.10income to reduce the excess to the income standard specified in subdivision 5c. The person
1.11shall elect to have the medical expenses deducted at the beginning of a one-month budget
1.12period or at the beginning of a six-month budget period. The commissioner shall allow
1.13 require persons eligible for assistance on a recurring one-month spenddown basis under
1.14this subdivision to elect to pay the monthly spenddown amount in advance of the month
1.15of eligibility to the state agency in order to maintain eligibility on a continuous basis. If
1.16the recipient does not pay the spenddown amount on or before the 20th of the month, the
1.17recipient is ineligible for this option for the following month. The local agency shall code
1.18the Medicaid Management Information System (MMIS) to indicate that the recipient has
1.19elected this option is paying the monthly spenddown in advance. The state agency shall
1.20convey recipient eligibility information relative to the collection of the spenddown to
1.21providers through the Electronic Verification System (EVS). A recipient electing making
1.22 advance payment must pay the state agency the monthly spenddown amount on or before
1.23the 20th of the month in order to be eligible for this option in the following month.
2.1EFFECTIVE DATE.This section is effective July 1, 2013, or upon any necessary
2.2federal approval, whichever is later.

2.3    Sec. 2. FEDERAL WAIVERS.
2.4The commissioner shall seek any federal waivers and approvals necessary to
2.5implement the changes to the medical assistance spenddown required by the amendments
2.6to Minnesota Statutes, section 256B.056, subdivision 5.