Page updated: 5/4/25

Legal authority

The payment structure of FRS changed from a framework rate to a tiered rate, per Minn. Stat. §256B.4914, subd. 19. DHS received approval from the federal Centers for Medicare & Medicaid Services (CMS) to make this change. For more information about CMS approval, refer to DSD eList: Disability waiver amendments approved by CMS.

Instructions

For FRS (adult and child) with a service renewal or new service start date of April 1, 2026, or later, the payment structure changes from a framework rate to a tiered rate.

A person’s tiered rate is based on their MnCHOICES assessment, which determines their case mix (i.e., case mixes A through K). Every case mix has an associated tier (i.e., tiers 1 through 6).

The person’s tier determines their rate for FRS. The following table provides information about each tier, the associated MnCHOICES assessment case mix(es) and the corresponding FRS rate.

FRS rates by tier

Tier	MnCHOICES assessment case mix	FRS daily rate
1	A	$194.83
2	D	$234.94
3	B, C, E or F	$254.06
4	G	$306.07
5	I	$306.07
6	H, J or K	$383.33

Tiered-rate determination and service authorization

For FRS with a start date of April 1, 2026, or later, the lead agency must:

1. Use MnCHOICES to determine the person’s tiered rate.

2. Authorize in MMIS the person’s tiered rate determined by MnCHOICES.

Additional information

Rate exceptions

Tiered rates for FRS are not eligible for rate exceptions (Minn. Stat. §256B.4914, subd. 14. (m)).

Minnesota Assessment of Parenting for Children and Youth (MAPCY)

The lead agency assesses foster care maintenance and supplemental difficulty of care (DOC) levels through the MAPCY tool. DHS pays parenting expenses for every eligible child who lives out of their family’s home in a licensed family foster care setting through Title IV-E funds. For more information about MAPCY, refer to PartnerLink – MAPCY.

When a child whose placement began before Sept. 30, 2021, receives both parenting and FRS waiver services from a single entity (i.e., same provider), the lead agency must subtract the supplemental DOC rate from the FRS tiered rate to avoid duplicate payment for services.

For additional information about funding for children in FRS settings, refer to CBSM – Funding for children in foster care settings.

Additional resources

CBSM – DWRS
CBSM – FRS
CBSM – Funding for children in foster care settings