HCBS Workforce Development Grant

In 2021, the Minnesota Legislature created an $11,176,000 HCBS workforce development grant program to attract and retain direct care workers who provide home and community-based services for people with disabilities and older adults. This grant supported the following initiatives:

Training stipend grants
Retention bonus grants
Employee-owned cooperative grants.

This grant program ended June 30, 2024. However, while the funds are no longer available:

People in need of technical assistance to start an employee-owned cooperative can review the University of Minnesota Extension: Employee ownership webpage for state and national cooperative development resources. Additional information about organizations involved in the grant work can be reviewed within the Outcomes tab below.
Personal care assistance (PCA) workers can still receive the enhanced rate if they complete the trainings and meet the additional requirements. Visit the Qualifying for the enhance rate webpage for more information on how to receive an enhanced rate of pay when providing qualified services.

Background

Review the 2022 HCBS Workforce Development Grant legislative report (PDF) for information on stakeholder input and initiative development.

Review the tabs below to learn more about the grant projects and supporting legislation.

Legislation
Outcomes

Minnesota Session Laws – 2021, 1st Special Session, Article 17, Sec. 20

Minnesota Session Laws – 2021, 1st Special Session, Article 17, Sec. 20 has been amended within Minnesota Session Laws – 2023, Regular Session, Chapter 50, Article 1, Sec. 36 to:

Sec. 20. HCBS WORKFORCE DEVELOPMENT GRANT.

Subdivision 1. Appropriation.

a) This act includes $0 in fiscal year 2022 and $5,588,000 in fiscal year 2023 to address challenges related to attracting and maintaining direct care workers who provide home and community-based services for people with disabilities and older adults. The general fund base included in this act for this purpose is $5,588,000 in fiscal year 2024 and $0 in fiscal year 2025.

b) At least 90 percent of funding for this provision must be directed to workers who earn 300 percent or less of the most current federal poverty level issued by the United States Department of Health and Human Services.

c) The commissioner must consult with stakeholders to finalize a report detailing the final plan for use of the funds. The commissioner must publish the report by March 1, 2022, and notify the chairs and ranking minority members of the legislative committees with jurisdiction over health and human services policy and finance.

Subd. 2. Public assistance eligibility.

Notwithstanding any law to the contrary, workforce development grant money received under this section is not income, assets, or personal property for purposes of determining eligibility or recertifying eligibility for:

1) Child care assistance programs under Minnesota Statutes, chapter 119B;

2) General assistance, Minnesota supplemental aid, and food support under Minnesota Statutes, chapter 256D;

3) Housing support under Minnesota Statutes, chapter 256I;

4) Minnesota family investment program and diversionary work program under Minnesota Statutes, chapter 256J; and

5) Economic assistance programs under Minnesota Statutes, chapter 256P.

Subd. 3. Medical assistance eligibility.

Notwithstanding any law to the contrary, workforce development grant money received under this section is not income or assets for the purposes of determining eligibility for medical assistance under Minnesota Statutes, section 256B.056, subdivision 1a, paragraph (a); 3; or 3c; or 256B.057, subdivision 3, 3a, or 3b.

Additionally, under Minn. Stat. 256.4764, Subd. 8, payments received from this grant are excluded from income as defined under Minn. Stat. §290A.03, subd. 3 and Minn. Stat. §290.0674, subd. 2a
Report: Outcomes of the HCBS Workforce Development Grant, DHS-8676-ENG (PDF) (February 2025)