AASD and DSD eList announcement

Date: May 6, 2025
To: Lead agency supervisors and staff who enter Medicaid Management Information System (MMIS) service agreements
From: DHS Aging and Adult Services and Disability Services divisions
Purpose: To inform MMIS users that DHS fixed an MMIS programming issue for exception code 635 related to transitional services
Effective: May 7, 2025
Contact: For questions about disability services, email dhs.ccrates@state.mn.us. For questions about aging and adult services, email dhs.aasd.hcbs@state.mn.us.

MMIS exception code 635 for transitional services update

DHS fixed the MMIS programming issue for exception code 635 (i.e., transitional service limit exceeded) related to transitional service line items (i.e., T2038, T2038 U1 and T2038 U2) for the following waivers:

· Brain Injury (BI).

· Community Alternative Care (CAC).

· Community Access for Disability Inclusion (CADI).

· Developmental Disabilities (DD).

We announced the MMIS programming issue for exception code 635 in the March 4, 2025, eList announcement.

Lead agency instructions

Effective May 7, 2025, the Jan. 1, 2025, rate increase for transitional services will apply to all transitional service lines effective on or after Jan. 1, 2025, as described in the Nov. 12, 2024, eList announcement. MMIS users:

1. Will no longer get exception code 635 when they try to increase transitional service line items.
Note: If MMIS users try to add additional transitional services (T2038) lines effective on or after Jan. 1, 2025, when they have billed on existing transitional services (T2038) lines in the same service agreement date span before Jan. 1, 2025, they will still get exception code 635 and must use Service Agreement and Screening Document (SASD) Support Team Portal, DHS-3754 to ask DHS to make the changes.

2. Can edit current service agreements to adjust the rates up to the limits described below:

· Line items with start dates on or after Jan. 1, 2025: Transitional services cannot exceed a total of $5,000, including the following limits for each service:
Moving expenses (T2038): Maximum total of $5,000.
Essential furniture (T2038 U1): Maximum total of $1,500.
Household supplies (T2038 U2): Maximum total of $500.

· Line items with start dates before Jan. 1, 2025: Transitional services cannot exceed a total of $3,000, including the following limits for each service:
Moving expenses (T2038): Maximum total of $3,000.
Essential furniture (T2038 U1): Maximum total of $1,000.
Household supplies (T2038 U2): Maximum total of $300.

More information

For specific policy requirements, refer to CBSM – Transitional services – BI, CAC, CADI and DD .

For more information, refer to the Nov. 12, 2024, eList announcement.

Previous eList announcements

AASD LEAD AGENCY ARCHIVE | DSD LEAD AGENCY ARCHIVE | DSD STAKEHOLDER ARCHIVE