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July 23, 2025 CERTIFIED MAIL Renee Lynn McGrath Renee Lynn McGrath Adult Foster Care 121 Red Wing Ave S Red Wing MN 55066 License Number 1105780-AFC (Adult Foster Care) Background Study Number 3871904 Maltreatment Investigation Report Number 202409806 DETERMINATION OF MALTREATMENT DISQUALIFICATION AND ORDER OF LICENSE REVOCATION Dear Renee Lynn McGrath: The Department of Human Services (DHS) has determined that you and Renee Lynn McGrath Adult Foster Care, located at 7755 365th Street Way, Cannon Falls, MN, 55009, under license number 1105780 are responsible for maltreatment by financial exploitation. You are identified as the staff person (SP) in the Investigation Memorandum for Report Number 202409806. DHS has determined that you are responsible for recurring maltreatment and are therefore disqualified from any position allowing direct contact with, or access to, persons receiving services from programs, organizations, and/or agencies that are required to have individuals complete a background study by the Department of Human Services as listed in Minnesota Statutes, section 245C.03. DHS is also revoking your license to provide Adult Foster Care at 7755 365th Way, Cannon Falls, MN, 55009, under license number 1105780. This revocation is based on the determination of maltreatment and disqualification of the license holder. Details of our findings are provided below and in the enclosed Investigation Memorandum for report 202409806. Our next steps and your options are also detailed. The revocation goes into effect on August 8, 2025, 2025, at 8 a.m. to allow time for delivery of this order and ten days for you to inform the Commissioner whether you intend to appeal the license revocation explained below. REASON FOR LICENSE REVOCATION 1. Determination of Maltreatment Maltreatment Report No. 202409806 It was reported that between September 2022 and October 2024, there were several transfers made from a vulnerable adult’s (VA’s) bank account into a staff person’s (SP’s) back account in excess of the VA’s monthly bills. DHS investigated the report as alleged maltreatment by financial exploitation. Based on the maltreatment investigation, DHS determined that you and Renee Lynn McGrath Adult Foster Care, were responsible for financial exploitation of a vulnerable adult. See the enclosed Investigation Memorandum for more information. Statute Violated: Minnesota Statutes, section 626.557, subdivision 9c. Legal Authority: Minnesota Statutes, section 245A.07, subdivision 3(a)(1). Under Minnesota Statutes, section 245A.07, subdivision 3 (a)(4) a license holder shall forfeit $1000 for each determination of maltreatment of a vulnerable adult under section 626.557 for which the license holder is determined responsible for the maltreatment under section 626.557, subdivision 9c, paragraph (c). However, because the Commissioner is imposing a more severe licensing sanction, Renee Lynn McGrath Adult Foster Care, is not being fined for $1000 per incident. If the revocation is rescinded upon appeal, DHS may impose the fine at that time. 2. Disqualification of License Holder See conclusion in report number 20249806. · The final disposition was that maltreatment is substantiated and that you and Renee Lynn McGrath Adult Foster Care,are each responsible for the maltreatment for report number 202409806. · You have been found to be responsible for recurring maltreatment. Serious and recurring maltreatment are disqualifications under Minnesota Statutes, section 245C.15, subdivision 4. The information used to disqualify you has been reviewed in order to determine whether you pose an imminent risk of harm to persons receiving services. · The Commissioner has determined that you (Renee Lynn McGrath) pose an imminent risk of harm to persons served by the program where you will have direct contact or access to persons served by the program and must be immediately removed. · In making the determination, the Commissioner has considered all relevant information available including all of the factors listed in Minnesota Statutes, section 245C.16, subdivision 1, and found the following factors to be determinative: o The recency of the disqualifying characteristic; o The vulnerability of the victim(s) involved in the disqualifying maltreatment; o The similarity of the victim(s) to the persons served by the program where the individual studied will have direct contact; and o The repeated nature of the disqualifying characteristics. Legal Authority: Minnesota Statutes, sections 245A.04, subdivision 7; 245A.07, subdivision 3(a)(2); 626.557, subdivision 9c, paragraph (d). 3. Failure to Conduct Internal Review DHS determined that license holder failed to make an internal review accessible to the commissioner upon request. On January 23, 2025, a DHS investigator requested that Renee Lynn McGrath Adult Foster Care submit a copy of its internal review pertaining to report number 202409806 to DHS. Subsequent requests for the internal review occurred on February 24, and March 4, 2025. License holders serving vulnerable adults are required to complete an internal review within 30 calendar days and take any necessary corrective action to protect the health and safety of vulnerable adults when a report of alleged or suspected maltreatment has been made. Statute Violated: Minnesota Statutes, sections 245A.65, subdivision 1 (b). Legal Authority: Minnesota Statutes, section 245A.07, subdivision 3(a)(1) Under Minnesota Statutes, section 245A.07, subdivision 3 (c)(4)(iv), a license holder shall forfeit $200 for each occurrence of a violation of law or rule governing matters of health, safety, or supervision. However, because the Commissioner is imposing a more severe licensing sanction, Renne Lynn McGrath Child Foster Care is not being fined for failing to report maltreatment ($200) as required. If the revocation is rescinded upon appeal, DHS may impose the fine at that time. LICENSING VIOLATIONS DETERMINED DHS determined that your program failed to follow licensing rules and statutes, as described below. 1. Violation: Through interviews it was determined that you assisted a person served with safekeeping of funds and did not document receipts or disbursements of their funds. Citation: Minnesota Statutes, section 245A.04, subdivision 13, paragraph (c), clause (1) states whenever the license holder assists a person served by the program with safekeeping of funds, the licensed holder must immediately document receipt and disbursement of the person’s funds at the time of receipt or disbursement. 2. Violation: Through interviews it was determined that you had a person served purchase their own bedding. Citation: Minnesota Rules, part 9555.6205, subpart 4, item B, subitem, (3) states that each resident shall be provided with clean bedding appropriate for the season. YOUR RIGHT TO APPEAL You have the right to appeal the Revocation Order, maltreatment determination, and/or disqualification. Please see options below. Please note that your reconsideration rights regarding your disqualification are separate and require independent action. Should you exercise your rights to appeal send: 1.
Right to appeal the revocation, maltreatment determination, and disqualification You have the right to appeal the revocation, the maltreatment determination, and disqualification. The request must be in writing and clearly state that the license holder is requesting a contested case hearing for this matter. The request must be made before the deadlines provided below. If you do not meet this deadline, you lose the 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 30 calendar days from when you received this order. See address provided at the beginning of this section. If your request is being personally delivered, it must be received by DHS within 30 calendar days from when you received this order. See address provided at the beginning of this section. Upon DHS’ receipt of your timely appeal, your case would be scheduled for a contested case hearing in front of an Administrative Law Judge. After this hearing, the Commissioner of DHS will issue a final order. Under Minnesota Statutes, section 245A.08, subdivision 2a, and section 245C.28, when a licensing sanction is based on a determination of maltreatment or a disqualification for serious or recurring maltreatment, the scope of the contested case hearing shall include the maltreatment determination, disqualification, and the licensing sanction. In this case, a reconsideration and a fair hearing would not be conducted regarding the maltreatment and disqualification. 2. Request for reconsideration of the maltreatment determination and disqualification If you do not appeal the revocation, you may still request reconsideration of the maltreatment determination and disqualification. Your request must be made before the deadlines provided below. If you do not meet this deadline, you lose your right to request reconsideration. The timeline to request reconsideration began when you received this order. Your request must: · Be in writing · Clearly state that you are requesting reconsideration of the maltreatment determination · Identify what is inaccurate or incomplete about the information in the Investigation Memorandum · Supply information that is accurate or more complete · State why you believe the finding of maltreatment should be changed · Be made before the deadlines provided below. Your request must be postmarked within 30 calendar days from when you received this order. See address provided at the beginning of this section. If your request is being personally delivered, it must be received by DHS within 30 calendar days from when you received this order. See address provided at the beginning of this section. See also the enclosed “Suggested Form for Request for Reconsideration of Disqualification Due to Maltreatment.” 3. Request for reconsideration of the maltreatment determination only If you do not appeal the revocation or the disqualification, you may still request reconsideration of the maltreatment determination. Your request must be made before the deadlines provided below. If you do not meet this deadline, you lose your right to request reconsideration. The timeline to request reconsideration began when you received this order. Your request must: · Be in writing · Clearly state that you are requesting reconsideration of the maltreatment determination · Identify what is inaccurate or incomplete about the information in the Investigation Memorandum · Supply information that is accurate or more complete · State why you believe the finding of maltreatment should be changed · Be made before the deadlines provided below. Your request must be postmarked within 15 calendar days from when you received this order. See address provided at the beginning of this section. If your request is being personally delivered, it must be received by DHS within 15 calendar days from when you received this order. See address provided at the beginning of this section. A response to your reconsideration request will be mailed within 15 working days after DHS receives your request. You have the right to request a fair hearing if a response is not mailed within 15 working days. 4. Right to appeal revocation only You have the right to appeal only the revocation. 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 received this order. See address provided at the beginning of this section. If your request is being personally delivered, it must be received by DHS within 10 calendar days from when you received this order. See address at the beginning of this section. 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. If you do not appeal or if the order is affirmed by the Commissioner following a hearing, DHS is prohibited from issuing you and the controlling individuals a license for five years. In addition, any additional licenses held by you or the controlling individuals shall also be revoked. 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. Operating the program pending the outcome of the appeal If you file an appeal within the time frames described above, you may continue to operate pending the outcome of your appeal. However, because the Commissioner has determined that you pose an imminent risk of harm to persons served by the facility and program, if you appeal the order of revocation and the facility and program continue to operate pending an appeal of the license revocations, you must be removed from any position allowing direct contact with, or access to, persons served by the facility and program pending a final order from the Commissioner. If the facility and program operate pending appeal, you must submit a written plan to your county adult foster care licensor and DHS within 48 hours after receipt of this letter. The plan must detail how you will be removed from any position allowing direct contact with, or access to, persons receiving services from the facility and program. For county adult foster care approval, send the written plan to: Dayle Christiansen, Goodhue County Human Services 509 W 5th Street Red Wing, MN 55066 General telephone number: (651) 385-3200 Fax number: (651) 950-4877 If the facility and program continues to operate under this section pending a final order, the facility and program must operate in full compliance with all licensing requirements set forth in Minnesota Statutes and Rules. Goodhue County will continue to monitor the facility and program and may conduct unannounced site visits to ensure on-going compliance with all licensing requirements set forth in Minnesota Statutes and Rules. If any violations are determined while the facility and program operate under appeal, the Department will take whatever additional licensing action it deems necessary including a possible immediate suspension of the facility’s and program’s licenses. Legal authority for this licensing action · This action is taken under Minnesota Statutes, section 245A.07, subdivision 3, which describes under which conditions DHS may revoke a license. · The timeline to appeal a revocation order is provided in Minnesota Statutes, section 245A.07, subdivision 3(b). · “Controlling individual” is defined under Minnesota Statutes, section 245A.02, subdivision 5a. · Under Minnesota Statutes, section 245A.07, subdivision 3, paragraph (a), clause (2), the Commissioner may revoke a license if a license holder or controlling individual has a disqualification which has not been set aside under section 245C.22. · When a revocation of a license is based on a disqualification for which reconsideration was timely requested and which was not set aside, the scope of the contested case hearing for the revocation shall also include the disqualification and revocation under Minnesota Statutes, section 245A.08, subdivision 2a, paragraph (a). · When a revocation of a license is based on a determination of maltreatment under section 626.557 or chapter 260E, or a disqualification for serious or recurring maltreatment that was not set aside, the scope of the contested case hearing shall include that maltreatment determination, the disqualification and revocation under Minnesota Statutes, section 245A.08, subdivision 2a, paragraph (a). · When a revocation of a license is based on a disqualification that cannot be set aside, the scope of the contested case hearing for the revocation shall not include whether disqualified individual poses a risk of harm to persons serve by the program. Minnesota Statutes, section 245C.24, subdivision 2(a). · Minnesota Statutes, section 245C.29, subdivision 2 states that a disqualification is final if the commissioner or court has issued a final decision, the individual did not request reconsideration on the basis the disqualification was incorrect, or the individual did not timely request a hearing after being given the right to do so. · Minnesota Statutes, section 245A.07, subdivision 3, paragraph (c), clause (4) states that license holders shall pay a $1000 fine for each determination of maltreatment under section 626.557/chapter 260E. · 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. · If a license holder files a timely appeal of a revocation order, the license holder may continue to operate the program pending a final order of the appeal under Minnesota Statutes, section 245A.07, subdivision 1(b). · Minnesota Statutes, sections 626.557, subdivision 9c, paragraph (d) and 260E.30, subdivision 4 (c), when substantiated maltreatment is determined to have been committed by an individual who is also the facility license holder, both the individual and the facility must be determined responsible for the maltreatment, and both the background study disqualification standards under section 245C.15, subdivision 4, and the licensing actions under section 245A.06 or 245A.07 apply. · Minnesota Statutes, section 13.46, subdivision 4, paragraph (b), clause (1), if a licensing sanction under section 245A.07 is based on a determination that the license holder is responsible for maltreatment, the identity of the license holder as the individual responsible for maltreatment is public data at the time of the issuance of the licensing sanction. · Minnesota Statutes, section 245A.04, subdivision 7, paragraph (d), clause (1), the commissioner shall not issue or reissue a license if the license holder or controlling individual has been disqualified and the disqualification has not been set aside and no variance has been granted. · Minnesota Statutes, section 245A.04, subdivision 7, paragraph (d), clause (3), the commissioner shall not issue or reissue a license if the applicant, license holder, or controlling individual has had a license issued under this chapter revoked within the past five years. · Under Minnesota Statutes, section 245A.04, subdivision 7, paragraph (d), clause (5), when a license issued under this chapter is revoked under clause (1) or (3), the license holder and controlling individual may not hold any license under chapter 245A for five years following the revocation, and other licenses held by the applicant, license holder, or controlling individual shall also be revoked. · Minnesota Statutes, section 245C.02, subdivision 16 defines recurring as more than one incident of maltreatment for which there is a preponderance of evidence that the maltreatment occurred and that the subject was responsible for the maltreatment. · Minnesota Statutes, section 245C.16, if the commissioner determines that the individual studied has a disqualifying characteristic, the commissioner shall review the information immediately available and make a determination as to the subject's immediate risk of harm to persons served by the program where the individual studied will have direct contact with, or access to, people receiving services. · Minnesota Statutes, section 245C.15, subdivision 4, an individual is disqualified if less than seven years have passed since a determination of substantiated serious or recurring maltreatment of a vulnerable adult under section 626.557 or minor under chapter 260E.
Questions If you have any further questions regarding this matter, you may contact Melanie Bridges, Supervisor, at 651-431-6559. Sincerely,
Maggie Hanson, Intake and Investigations Unit Manager Licensing Division Office of Inspector General CC: Dayle Christiansen, Goodhue County AFC Licensor
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