Free Standing Room and Board Programs

Free Standing Room and Board (FSRB) programs provide short-term housing for individuals with an assessed need for residential level SUD treatment needs. Programs are licensed and approved by DHS and provide basic needs and staff supervision for residents. The sections below further describe the program, and the specific requirements.

2026 Legislative Session Update

On May, 17, 2026, the Minnesota Legislature passed the Human Services Supplemental Budget bill, which included provisions to advance the recovery residence certification process and Housing Support Program eligibility by six months, and to clarify Free Standing Room and Board (FSRB) billing timelines.

Effective July 1, 2026:

Certification for recovery residences, as well as Housing Support Program eligibility for Level 2 Certified Recovery Residences, will now take effect on July 1, 2026.

Effective Dec. 31, 2026:

Payments for Free Standing Room and Board will not be approved for services rendered after Dec. 31, 2026, but providers can still submit billing claims for one year past the date of service.

Provider Information

Required Compliance Standards
All FSRB Providers are required to operate in accordance with the following requirements.

Legal Requirements:
- Room and board provider requirements under MN Statute Sec. 254B.05 Subd. 1a.
- Minnesota Health Care Programs (MHCP) enrollment requirements under Substance Use Disorder (SUD) Services and Substance Use Disorder (SUD) Services Enrollment Criteria and Forms, specifically:
  - DHS-4138-ENG (MA and MCO In-Network providers or MA only Provider Agreement)
  - DHS-3491-ENG (Behavioral Health Fund (BHF) Provider Assurance Statement)
Key Operating Requirements:

In alignment with MN Statute 254B.05 Subd. 1a, FSRB providers must ensure:
- No Concurrent Housing Support Funding: Providers cannot receive both Housing Supports payments under Minnesota Statutes, Chapter 256I and Behavioral Health Funds (BHF) for the same resident for the same time period. Sec. 254B.05 Subd. 1a. (4)
- Annual Registration: Providers must annually update their Board and Lodging with Special Services registration. Sec. 254B.05 Subd. 1a. (6)
- Coordination with Treatment Provider: FSRB providers must document coordination with each resident’s treatment provider to confirm eligibility for FSRB services:
  - Sec. 254B.04 Subd. 2a Eligibility for room and board services for persons in outpatient substance use disorder treatment.
    - “A person eligible for room and board services under section 254B.05, subdivision 5, paragraph (b), must score at level 4 on assessment dimensions related to readiness to change, relapse, continued use, or recovery environment in order to be assigned to services with a room and board component reimbursed under this section. Whether a treatment facility has been designated an institution for mental diseases under United States Code, title 42, section 1396d, shall not be a factor in making placements."; and
  - Sec. 254B.03 Subd. 2(a) (2) “concurrently receiving a substance use disorder treatment service in a program licensed by the commissioner and reimbursed by the behavioral health fund."
- Staffing: Awake staff must be onsite whenever a resident is present. Sec. 254B.05 Subd. 1a. (7)
Additional Requirements
In addition to statutory requirements, FSRB providers must:
- Report suspected maltreatment: Document any suspected maltreatment under Sec. 626.557 Subd. 4a (a)
- Provide food to all residents: Providers must ensure availability of food equivalent to three meals per day for all FSRB residents.
- Narcan/naloxone Availability: Providers are required to maintain naloxone (Narcan) onsite to prevent against overdose deaths. Naloxone - MN Dept. of Health
- Attendance Tracking: Providers must maintain a system to document a resident’s daily presence. Residents must be physically present overnight for billing. Absences, including those on passes, are not billable.
Other Important Information
- Staffing Restrictions: Providers must not submit billing claims for staff as residents. Meaning, staff members cannot be employed at the facility while simultaneously receiving payment as a resident of the free-standing room and board (FSRB) program.
- Peer Recovery Staff Limitations: Peer recovery staff employed by a treatment program, recovery community organization, or other entities must not hold dual roles as house managers or facility staff (See Rule 5.0 in the Peer-Recovery-Code-of-Ethical-Conduct.pdf).
  - Enforcing house rules and overseeing facility operations fall outside the recognized scope of peer recovery work.
  - Peers may provide support within the house environment, but strictly in their peer recovery role—not as part of the housing or administrative team.
  - It is not permissible for FSRB staff who are also peer recovery staff to bill for services provided to residents of the FSRB. This distinction is necessary to prevent potential conflicts and role confusion.
- Service Separation: Free-standing room and board (FSRB) and substance use disorder (SUD) treatment are two distinct services. While an agency may operate both a licensed treatment program and an FSRB facility, these services must remain separate in terms of access and client choice.

Resident and Referral Information

Resident Eligibility
- Residents must meet a residential treatment level of care on a Comprehensive Assessment to be eligible for FSRB services.
  - See MN Statute 254B.04, Subd. 2a
Resident Rights and Information
- Residents must understand how their housing relates to their treatment level and needs
- Residents must know their transition plan for ending FSRB supports when their residential-level care is no longer needed
- Residents have the right to choose their service providers
- FSRB providers cannot limit which SUD treatment program residents use
- Treatment providers cannot require clients to use specific FSRB providers
- A list of active FSRB providers is available to help individuals locate services statewide.
Grievances
- Residents can report grievances to the following:
  - Minnesota Office of Ombudsman for Mental Health and Developmental Disabilities (OMHDD)
    - Address: 332 Minnesota St., Ste. W1410, First National Bank Building, St. Paul, MN 55101-2117
    - Phone: (local) 651-757-1800, (toll-free) 1-800-657-3506 or Fax: 651-797-1950
    - Email: ombudsman.mhdd@state.mn.us
    - Website: How to File a Complaint / mn.gov
      
      Complaints should involve the actions of an agency, facility, or program and can be person-specific or a system-wide concern.
  - Minnesota Department of Health (MDH), Office of Health Facility Complaints
    - Address: PO Box 64970, St. Paul, MN 55164-0970
    - Phone: 651-201-4200
    - Email: health.ohfc-complaints@state.mn.us
    - Website: Filing a Complaint Against a Facility - MN Dept. of Health
      
      Complaints should involve rights violations, issues with inadequate care, violations of licensing standards, or issues related to discharge/termination of services via this method.
  - Minnesota Board of Behavioral Health and Therapy (BBHT)
    - Address: 335 Randolph Ave., Ste. 290, St. Paul, MN 55102
    - Phone: 651-201-2750 or Fax: 651-797-1378
    - Email: bbht.board@state.mn.us
    - Website: Filing a Complaint / Minnesota Board of Behavioral Health and Therapy
      
      NOTE: Complaints to the MN BBHT should involve licensed counselors or therapists. Please use the MN Health Board credential search before submitting a complaint.

Legislative Changes and Recovery Residence Information

It is important for all free-standing room and board (FSRB) providers to be aware that this service will no longer be reimbursable for existing providers after Dec. 31, 2026, as the state transitions to a Certified Recovery Residence model. Below are a few key highlights from the legislation:

Immediate Changes:
- Closure to New Providers: Effective June 30, 2025, no new FSRB programs will be accepted.
- Existing provider timeline: Current providers can continue to claim funding through Dec. 31, 2026, if they remain in compliance with all applicable laws.
New Recovery Residence Certification:
- Voluntary certification will become effective on July 1, 2026 for Recovery Residences.
- DHS will designate facilities as either Level 1 (peer-run) or Level 2 (staff-managed).
- More information on the certification process, requirements, definitions and steps for potential providers can be found on the Recovery Residences webpage.
Housing Support Changes:
- Effective July 1, 2026, MN DHS will manage Housing Support Agreements (previously managed by individual counties and tribes).
Planning and Communication:
- The Recovery Residence Work Group has been established to address key elements related to the implementation of Recovery Residences.
  - More information on the work group can be found on the Recovery Residence Work Group webpage.
- Subscribe to our e-memo communications for updates.
- We will also use our existing FSRB provider distribution list for notifications.

For full details on the certification process and requirements, please refer to Special Session Law 2025, Chapter 9, Article 4, or the Recovery Residence comparison document.

We will share additional information about this transition over the next two years and are committed to keeping you informed throughout the process.

Questions and Contact Information

For questions related to the Board and Lodge Special Services Registration: Lodging in Minnesota Boarding and Lodging with Special Services - MN Dept. of Health

For questions related to Free Standing Room and Board: Email recovery_supports_bha.dhs@state.mn.us.

For questions related to FSRB billing, contact the Minnesota Health Care Program Provider Resource Center.

To find a contact for the Board and Lodging or Lodging Establishment, please review the Minnesota State and Local Food, Pools, and Lodging Contacts (PDF) on the Licensing Jurisdictions webpage.