Updated budget proposals would invest more in human services workforce

Investing more in the human services workforce and transitioning to a post-COVID world is behind much of Gov. Tim Walz’s $568.8 million supplemental budget proposal for the Department of Human Services. 

For example, the department is requesting additional funding as it unwinds temporary policies and procedures due to COVID. The proposal would give enrollees time to spend down assets, extend forgiveness of some unpaid medical assistance premiums, and provide resources for electronic income verification. 

Sponsored by Rep. Jennifer Schultz (DFL-Duluth), HF4307, as amended, was laid over Thursday by the House Human Services Finance and Policy Committee for possible omnibus bill inclusion.

Rep. Tony Albright (R-Prior Lake) is looking forward to further discussions.   

“These are some broad-reaching, expensive proposals,” he said.

Budget Director Elyse Bailey highlighted money the department requested to enhance the human services workforce – $390 million over this and the next budget biennium, including:

• a $138 million workforce incentive that would let providers use the fund for worker bonuses or incentives, loan or tuition reimbursement, payment for transportation or child care costs;
• a significant increase in support for behavioral health providers, including $1 million per year in grants for peer training and grants to reimburse professionals for tuition, licensing and exam fees;
• reimbursement rates for personal care assistants would increase from 75% to 80% of the actual service cost; and
• significant investments would update and develop new web content, including ways to reduce reliance on paid caregivers.

The proposals would expand those eligible for Medical Assistance to youth formerly in foster care and children who are undocumented, a change supported by the Minnesota Catholic Conference. “Policies should try to make health care available to everyone regardless of immigration status,” said government relations associate Ryan Hamilton.

A provision to change the way opioid treatment programs receive state funding, unbundling the rate for drugs from the rate for services, drew an objection from opioid treatment program administrators. Tina Silverness, CEO of the Center for Alcohol and Drug Treatment in Duluth, said the proposal won’t increase access to or quality of care and may have the opposite impact.  

The companion, SF4013, is sponsored by Sen. Melissa Wiklund (DFL-Bloomington) and awaits action by the Senate Health and Human Services Finance and Policy Committee.