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HF 2663

Human services forecast adjustments provided, and money appropriated.

2025-2026 Regular Session Introduced by Jeff Backer

DHS adjusts General Fund and Health Care Access Fund appropriations for 2025 to better match forecasted needs across programs, including a large boost for behavioral health.

Motion to recall and re-refer, motion prevailed Health Finance and Policy
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Bill Summary · HF 2663

Summary of HF 2663 (2025-2026) — Human Services Forecast Adjustments Provided, and Money Appropriated

Purpose

HF 2663 proposes adjustments to forecasted human services spending and related appropriations. The bill directs the Department of Human Services (DHS) to adjust appropriations from the General Fund and the Health Care Access Fund to align with forecasted program needs for the fiscal year ending June 30, 2025. The primary aim is to modify existing appropriations shown in prior Laws (2023 and 2024 amendments) to reflect updated financial assumptions and program needs.

Key Provisions

  • Accounting framework for adjustments (Section 1):

    • Establishes that the “Appropriations” amounts listed in the bill are additions to or subtractions from the appropriations in prior laws (Laws 2023, ch. 61, art. 9; Laws 2023, ch. 70, art. 20; amended by Laws 2024, ch. 115, art. 21; Laws 2024, ch. 127, arts 53 and 67).
    • These adjustments are for the commissioner of human services and are drawn from the General Fund or other named funds, available for the specified purposes in Section 2.
    • The figure “2025” in the act indicates the appropriation adjustments apply to the fiscal year ending June 30, 2025.

  • Detailed appropriation by purpose (Section 2):

    • Total appropriation (Subdivision 1): The bill lists a total appropriation of $137,099,000 (appears as the net available amount for the year, though the text lists a separate line for General Fund appropriations totaling $153,281,000 and a Health Care Access Fund adjustment of $(16,182,000), indicating a net impact when combined with other lines).
    • By fund:
    • General Fund: $153,281,000
    • Health Care Access Fund: $(16,182,000) (i.e., a reduction)
    • Forecasted Programs (Subdivision 2): Specific programs receive forecasted adjustments:
    • General Assistance: $3,737,000 (positive)
    • Minnesota Supplemental Aid: $3,428,000 (positive)
    • Housing Support: $11,923,000 (positive)
    • MinnesotaCare: $(16,182,000) (negative; offset by other funds)
    • Medical Assistance: $(1,735,000) (negative)
    • Behavioral Health Fund: $135,928,000 (positive)
    • Note: The line for MinnesotaCare is indicated as an appropriation from the Health Care Access Fund.

  • Source of funds and purpose alignment:

    • The bill explicitly ties adjustments to general fund and health care access fund appropriations, and designates the funds for the listed programs, to better align forecasted needs with available resources.

Who is Affected

  • Department of Human Services (DHS): Responsible for implementing the forecast adjustments and managing the revised appropriations.
  • Beneficiaries of the listed programs:
    • General Assistance
    • Minnesota Supplemental Aid (MSA)
    • Housing Support
    • MinnesotaCare
    • Medical Assistance (MA)
    • Behavioral Health Fund programs
  • State finances: Adjusts General Fund and Health Care Access Fund allocations, affecting overall state budgeting and fiscal planning for the 2025 fiscal year ending June 30, 2025.

Procedural and Timeline Notes

  • Effective date: Sections 1 and 2 take effect the day after final enactment.
  • Legislative action history:
    • Introduced and referred to the Health Finance and Policy and subsequently recalled/re-referred to the Human Services Finance and Policy committee for consideration.
  • Enactment context: The bill operates as a mechanical adjustment to existing appropriations, contingent on forecasted program needs, and would not create new program authorities beyond existing statutory frameworks.

Potential Impact

  • Provides DHS with updated funding levels to better match forecasted demand for essential services in 2025.
  • Could influence service delivery and eligibility operations for the listed programs.
  • The sizable positive adjustment for the Behavioral Health Fund ($135.9 million) suggests a shift toward strengthening behavioral health investments within Minnesota’s human services portfolio.
  • Net fiscal impact reflects a combination of increases and reductions across funds and programs, requiring careful administration to ensure program integrity and beneficiary access.

If you’d like, I can convert this into a concise one-page briefing or compare it to the prior year’s forecast adjustments for context.

Compiled from official sources — confirm details with the bill’s official record.

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