Minn. Stat. §245A.03, subd. 7, Minn. Stat. §256B.493

Corporate foster care setting: A licensed foster care setting where the license holder does not reside. This setting typically uses a shift-staff model of support (i.e., paid staff work shifts on a 24-hour basis).

Community residential setting (CRS): A residential program (as identified in Minn. Stat. §245A.11, subd. 8) where all of the following are true:

The 2009 Minnesota Legislature authorized a moratorium on the growth of licensed adult and child corporate foster care and CRS settings.

Effective Sept. 1, 2009, the Legislature established a statewide capacity threshold for the duration of the moratorium. In 2011, the Legislature established a statewide capacity reduction of up to 128 corporate foster care/CRS beds. DHS met this requirement by the June 30, 2014, deadline.

The moratorium remains in effect.

The licensing moratorium applies to:

The corporate foster care moratorium liaison at each county manages the day-to-day capacity process for corporate foster care settings. To contact a liaison, refer to CBSM – Corporate foster care moratorium liaison contact list.

Duties

The moratorium liaison where the setting is or would be located is responsible to:

1. Serve as the contact person between the lead agency, county licensing agent, DHS Licensing Division and DHS Disability Services Division (DSD) for moratorium and capacity issues.

2. Work with lead agencies and provider partners to manage the corporate foster care moratorium and the need for new development and closures.

3. Be knowledgeable about their lead agency’s corporate foster care capacity and moratorium exceptions.

4. Identify opportunities to evaluate and adjust capacity to meet people's needs while reflecting individual choices.

5. Work with people who receive services, their teams, the lead agency and providers to determine if a corporate foster care setting is the best and most integrated community living option and, if so, determine priority needs for services in the corporate foster care setting.

6. Work with people who receive services, their teams and the lead agency to identify and monitor situations where people currently served in corporate foster care could—based on their preferences and needs—receive less intensive services in alternative or less restrictive settings (e.g., with a companion who could provide the same care).

7. Complete and submit requests to DSD for changes in corporate foster care capacity. For more information, refer to the submitting requests to DSD section on this page.

8. Process DSD-approved forms with county licensing staff.

9. Attach applicable DSD-approved forms to all corporate foster care licensing application materials and send them to the DHS Licensing Division.

The moratorium liaison where the setting is or would be located is responsible to submit requests for changes in corporate foster care capacity by using the applicable sections of Request to Close or Develop New Corporate Foster Care, DHS-6021.

The moratorium liaison must submit DHS-6021 to DSD when there is a request to:

If there is a request to close an entire adult corporate foster care or CRS setting, the moratorium liaison must submit Corporate Adult Foster Care/CRS Setting Closure Proposal, DHS-6021B (PDF) to DSD. For additional information about this process, refer to CBSM – Adult corporate foster care and CRS setting closure process and procedure.

DSD’s approval of requests does not guarantee rates or licensing approval. They are separate DHS processes.

A person may receive an exception from the corporate foster care licensing moratorium when the exception:

1. Allows movement to the community for people who no longer need the level of care provided at the Minnesota State Security Hospital or Anoka Metro Regional Treatment Center.

2. Is for a person in a foster care setting that is not the primary residence of the license holder and in which at least 80% of the residents are age 55 or older.

3. Is necessary due to the closure of a nursing facility, intermediate care facility for persons with developmental disabilities (ICF/DD) or regional treatment center or is necessary for the restructuring of state-operated facilities and closure plans are in place.

4. Is necessary to serve people who require a hospital level of care (i.e., people on the Brain Injury – Neurobehavioral Hospital [BI–NB] or Community Alternative Care [CAC] waivers).

5. Is necessary to serve people affected by the closure of homes with a capacity of five or six beds currently licensed as supervised living facilities (SLFs) under Minn. R. 4665 but not designated as intermediate care facilities (exception available until June 30, 2025).

A provider must notify the moratorium liaison where the setting is located when it wants to do either of the following:

Example: Change of premise

A provider asks to relocate licensed capacity from one location to a different location in the same county. As part of the move, the provider is willing to close the capacity at the setting it is leaving so the capacity can move to a different location in the same county.

Example: Change of ownership

A provider decides to retire, and another provider offers to buy the licensed business. The current provider will no longer be licensed for the location. The new provider must apply for a new license and meet the applicable licensing requirements. The expectation is that the new provider will receive a license for identical or less capacity at the same location.

Lead agency responsibilities

If a provider wants to either move capacity to another location in the same county or sell a setting to another qualified provider, the lead agency has the following responsibilities:

1. The assigned case manager(s) must review service and setting options with each person who lives in the affected home.

2. The county of financial responsibility confirms the review took place (If so, proceed to step 3. If not, return to step 1.).

3. The moratorium liaison completes the applicable portion of section B in Request to Close or Develop New Corporate Foster Care, DHS-6021 and submits it to DSD for approval.

If DSD approves the change, it notifies the moratorium liaison with the approval decision. Then, the moratorium liaison alerts the county licensing staff so they can process the change.

If you have questions, contact the DSD residential fiscal policy planner using the DSD Contact Form.

CBSM

CBSM – Adult corporate foster care and CRS setting closure process and procedure
CBSM – Changes to size of setting by waiver service
CBSM – Community residential services
CBSM – Corporate foster care moratorium liaison contact list
CBSM – Housing resources
CBSM – Transitional services

Forms

Request to Close or Develop New Corporate Foster Care (and Community Residential Settings), DHS-6021
Corporate Adult Foster Care/CRS Setting Closure Proposal, DHS-6021B (PDF)

Other

DHS – Licensing information lookup