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June 07, 2024 CERTIFIED MAIL Marlin Martin, Authorized Agent Valhalla Place LLC dba BHG Woodbury Treatment Center 5001 Spring Valley Rd Ste 600E Dallas, TX 75244-8217 License Number 1108978 (245G) ORDER TO PAY A FINE FOR BACKGROUND STUDY VIOLATIONS Dear Marlin Martin: The Department of Human Services (DHS) is ordering you to pay a fine of $400 for two fineable background study violations. Details of our findings are provided below. Our next steps and your options are also detailed. Reason for the Fine DHS is issuing this fine order based on your failure to comply with the following background study requirement: Background Study Violation Determined on March 27, 2024: 1. As a result of a licensing review, a DHS licensor determined that you failed to request background studies for three staff persons (SP1 through SP3) before they began working in positions allowing direct contact with persons served. · SP1 began working in a position allowing direct contact with persons served by the program in March 2022; however, the license holder did not initiate a background study to DHS until August 04, 2022. Under Minnesota Statutes, section 245A.07, subdivision 3, paragraph (d), the Commissioner shall not issue a fine to a license holder who self-corrects a background study violation before the Commissioner discovers the violation. A license holder who has previously exercised the provision of paragraph (d) to avoid a fine for a background study violation may not avoid a fine for a subsequent background study violation unless at least 365 days have passed since the license holder self-corrected the earlier background study violation. Because the license holder self-corrected the background study violation involving SP1 before the Commissioner discovered the violation, the license holder is not being fined for the background study violating involving SP1. · SP2 began working in a position allowing direct contact with persons served by the program on August 02, 2022; however, the license holder did not initiate a background study until December 05, 2022. Although the license holder self-corrected the background study violation involving SP2 on December 05, 2022, at least 365 days had not passed since the license holder previously self-corrected the background study for SP1 on August 04, 2022. Therefore, the license holder is being fined for the background study violation involving SP2. · SP3 began working in a position allowing direct contact with persons served by the program on January 09, 2023; however, the license holder did not initiate a background study until January 12, 2023. Although the license holder self-corrected the background study violation involving SP3 on January 12, 2023, at least 365 days had not passed since the license holder previously self-corrected the background study for SP1 on August 04, 2022. Therefore, the license holder is being fined for the background study violation involving SP3. Statute Violated: Minnesota Statutes, sections 245C.04, subdivision 1, paragraph (g) and 245A.07, subdivision 3, paragraph (d)]. Fine: $400 (three background study violations-two finable violations at $200 per violation) Corrective Action Required: You must comply with background study requirements in Minnesota Statutes, chapter 245C. Billing and Payment of the Fine DHS will send you an invoice for the $400 fine. Payment must be made as directed on the invoice. If you request a contested case hearing, as described below, do not pay the fine at this time. Following the contested case hearing, the Commissioner of DHS will issue a final order on this matter. Please note, you may not avoid payment of this fine by closing, selling, or otherwise transferring the license to a third party. If this occurs, each controlling individual is personally and jointly responsible for payment. If you do not pay the fine on or before the date specified on the invoice and you did not request a contested case hearing, as described below, the Commissioner may issue a second fine, may not issue or reissue a license, or may suspend the license until the license holder pays the fine. Your Right to Appeal You have the right to appeal the fine. Your request must be in writing and clearly state that you are requesting a contested case hearing for this matter. Your request must be made before the deadlines provided below. If you do not meet this deadline, you lose your right to an administrative appeal. The timeline to appeal began when you received this order. If you are mailing your request, it must be sent by certified mail and postmarked within 10 calendar days from when you receive this order. Please send it to: Commissioner, Department of Human Services Office of Inspector General Legal Counsel’s Office Attn: Licensing Legal Unit PO Box 64953 St. Paul, MN 55164-0953 If your request is being personally delivered, it must be received by DHS within 10 calendar days from when you receive this order. Please bring it to: Commissioner, Department of Human Services Office of Inspector General Legal Counsel’s Office Attn: Licensing Legal Unit 444 Lafayette Road North St. Paul, MN 55155 Upon DHS’ receipt of your timely appeal, your case would be scheduled for a contested case hearing in front of an Administrative Law Judge. Following this hearing, the Commissioner of DHS will issue a final order. Legal representation at the contested case hearing You do not need a lawyer to appeal. However, a lawyer can help you with your appeal. The state or county will not get you a lawyer and will not pay for a lawyer. If you cannot afford a lawyer, you may be able to get free legal advice or help with your appeal. To find out if free help is available, contact: Volunteer Lawyers Network at 612-752-6677; Central Minnesota Legal Services at 612-332-8151; Southern Minnesota Legal Services at 651-222-4731; or go to www.lawhelpmn.org to find a local legal services program that may be able to help you. You can also find information on contested cases from the Office of Administrative Hearings website at https://mn.gov/oah/self-help. Click on Administrative Law Overview, then click on Administrative Law Contested Case Hearing Guide for a list of frequently asked questions. Legal Authority for this Licensing Action · DHS may impose a $200 fine for each background study violation under Minnesota Statutes, section 245A.07, subdivision 3, paragraph (c)(4)(iv). · The exception that allows a license holder who self-corrects a background study violation to avoid a fine does not apply when the license holder was cited for the same violation within the past 365 days, under Minnesota Statutes, section 245A.07, subdivision 3, paragraph (d). · Minnesota Statutes, section 245A.07, subdivision 3, paragraph (c)(5) states that license holders may not avoid payment of a fine by closing, selling, or transferring a license. · Minnesota Statutes, section 245A.04, subdivision 7, paragraph (d)(4), states that DHS shall not issue or reissue a license if the applicant, license holder, or controlling individual has an outstanding debt related to a license fee, licensing fine, or settlement agreement for which payment is delinquent. · Minnesota Statutes, section 245A.07, subdivision 3, paragraph (c)(2), states that that the license holder shall pay the fine assessed on or before the payment date specified, and if the license holder does not do so the commissioner may issue a second fine or suspend the license until the license holder complies. · License holders have a right to appeal licensing actions and request a contested case hearing, under Minnesota Statutes, chapter 14 and Minnesota Rules, parts 1400.8505 to 1400.8612. · NetStudy 2.0 is defined by Minnesota Statutes, section 245C.02, subdivision 13e. Questions If you have any further questions regarding this matter, you may contact Maura McGarry, Supervisor, at 651-431-6671. Sincerely,
Paula Halverson, Unit Manager Licensing Division Office of Inspector General
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