This bill, S.F. No. 1826, relates to human services in Minnesota and focuses on substance use disorder (SUD) treatment services. It primarily encompasses establishing payment rates for various SUD treatment services, updating vendor eligibility for payments from the Behavioral Health Fund, and adjusting reimbursement rates annually. Below is a summary of the key provisions:

Article 1 – Substance Use Disorder Treatment Rates

1. Rate Establishment for SUD Services
   The bill sets payment rates for various levels of substance use disorder treatment based on the American Society of Addiction Medicine (ASAM) levels of care, which include:

   • Outpatient (ASAM Level 1.0)
   • Intensive outpatient (ASAM Level 2.1)
   • Partial hospitalization (ASAM Level 2.5)
   • Low-intensity residential (ASAM Level 3.1)
   • High-intensity residential (ASAM Levels 3.3 & 3.5)
   • Withdrawal management (ASAM Level 3.7)
   • Opioid treatment programs and adolescent treatment programs

2. Enhanced Payment Rates
   Programs are eligible for higher reimbursement rates if they:

   • Support parents with children (by providing childcare)
   • Are culturally specific or responsive
   • Are disability responsive
   • Offer integrated mental health and substance use disorder (co-occurring disorders)
   • Provide medical services with healthcare staff
     

3. Telehealth and Group Therapy Provisions

   • The bill allows telehealth reimbursement at the same rate as in-person services.
     
   • Limits group therapy to a maximum of 48 clients per staff unless specified otherwise.

4. Updated Base Payment Rates (Effective January 1, 2026)

   • Individual outpatient counseling: $140.27 per unit
     
   • Group outpatient counseling: $42.97 per unit
     
   • Residential treatment (high-intensity ASAM 3.5): $355.02 per day
     
   • Withdrawal management (ASAM 3.7): $576.18 per day
     

5. Annual Rate Adjustments (Starting January 1, 2027)
   Payment rates will increase annually based on the Centers for Medicare and Medicaid Services' (CMS) "Medicare Economic Index."

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Article 2 – Recodification of SUD Vendor Regulations

1. Technical Updates and Numbering Changes

   • The bill reorganizes and clarifies existing laws related to provider eligibility.
     
   • It updates cross-references within the Minnesota Statutes to ensure consistency.
     

2. Clarifications on Vendor Eligibility

   • Ensures proper licensing for treatment centers receiving funds.
     
   • Codifies rules related to peer recovery support services and treatment coordination.

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Significance of the Bill

• Standardizes rates for substance use disorder treatment services.
  
• Provides yearly increases to ensure funding remains aligned with inflation.
  
• Expands access by providing higher reimbursement for specialized and culturally competent programs.
  
• Integrates mental health & SUD services to support individuals with co-occurring disorders.
  
• Facilitates telehealth expansion for SUD treatment while maintaining proper oversight and quality standards.
  

This bill represents a major effort to improve access to SUD treatment and ensure sustainable funding rates in Minnesota.