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Personal Care Assistance

Provider owned or controlled housing

Page posted: 1/5/10

Page reviewed:

Page updated: 4/27/11

Legal authority

Minn. Stat. §256B.0659, subdivisions 3(b) (1), 11(c) and 29


PCA services are not covered when the PCA provider agency owns or controls the living arrangement of the person receiving services.

Transitional timelines

People living in provider owned or controlled housing had until Aug. 10, 2010 to make a change. DHS, lead agencies and PCA providers are required to work together to help people and their families make changes to come into compliance with this requirement.


People or companies that own, lease, control or have a financial interest in a residential setting cannot be a PCA provider agency for the residents in that setting.

A living arrangement is controlled by a provider if the person or company that controls the housing does any of the following:

1. Restricts choice of provider such that the PCA recipient would need to move in order to choose a new agency.

2. Markets one or more PCA providers to PCA recipients in a manner that limits choice of provider.

3. Restricts use of the housing based on the amount of PCA service the recipient receives or the PCA provider the PCA recipient uses. For example; restricting a recipient’s use of shared living spaces if the recipient does not use a particular PCA provider.

4. Provides incentives to use a particular PCA agency. Examples include discounts in rent or higher personal needs allowances for using a particular PCA provider.

Provider owned or controlled housing includes but is not limited to:

  • • Assisted living or housing with services where the PCA services are used as shift staff for the residence
  • • Corporate foster care where PCAs are used as shift staff
  • • Other models where there is an expectation that services are included with housing
  • Provider owned or controlled housing does not include:

  • • Arrangements with live-in PCAs
  • • Arrangements with relatives as PCAs
  • • Family foster care where the recipient lives with the license holder
  • • Arrangements where the agency owner is related by blood, marriage or adoption to the recipient
  • Recipient responsibilities

    Recipients have the following options to come into compliance with statute:

  • • Choose a PCA provider with no affiliation or financial interest in their housing
  • • Move to another setting where the PCA provider does not control the person’s housing
  • • Request a Long Term Care Assessment or Developmental Disability Screening to determine other options and services
  • PCA provider agency responsibilities

    Based on recipient choice, providers have two options to come into compliance with statute.

    1. Continue to provide the PCA services but not the housing. The provider of PCA services:

  • • Must not have a financial interest in the recipient’s housing and
  • • May not accept rental payments on behalf of the recipient or the recipient’s landlord
  • 2. Continue to provide the housing but not PCA services. The housing provider:

  • • Must allow recipients free choice of PCA agencies and
  • • Must not have a financial interest in providing services to the recipient
  • If the recipient chooses to stay in the home and is eligible for waiver services, the recipient may be able to continue to live in the home formerly staffed with personal care assistants. DHS does not guarantee waiver allocations for recipients in provider controlled housing.

    Lead agency responsibilities

    People on waivers or in managed care with care coordination

    Case managers and care coordinators are responsible to assure PCA services do not occur in provider controlled housing. Medical Assistance no longer pays for PCA or extended PCA services when the PCA provider agency owns or controls the living arrangement.

    People on state plan fee-for-service PCA

    As part the PCA assessment process, PCA assessors identify PCA recipients who appear to be in provider controlled housing. Service agreements cannot be approved for these situations.

    Additional information

    Arc of Minnesota: Want a home of your own? (PDF)
    DD Screening

    Housing Resources

    Long Term Care Consultation Services (LTCC)

    Waiver brochures:

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