Committee lays over bill to restore choice for people with disabilities between Medicaid waiver and extended employment services

House File 4193 was introduced to restore choice for Minnesotans with disabilities to receive either Medicaid waiver services (through DHS authorized providers) or extended employment (EE) supports from DEED‑authorized providers. Representative sponsor described a rule change implemented last July that regulators said removed the schedule K mechanism that previously let providers coordinate funding and avoid duplication.

Providers testified the rule change had immediate effects: Cassia Janosic (vice president of vocational and housing services, RISE Incorporated) and Shelley Borman (workforce development manager, Goodwill Easterseals Minnesota) said the rule revision has created Medicaid waiver wait lists in Greater Minnesota, reduced participant choice, and prevented some individuals from accessing long‑term employment supports. Janosic said EE is a "long standing, highly successful" program that uses pay‑for‑performance safeguards and audits and argued the rule has produced harmful access barriers.

DEED's government relations director Devin Bowery said agency conversations with providers and DHS had been productive and described a potential compromise that would avoid duplication and suggested a two‑year trial rule to address the issue. Members asked DEED to circulate the agreed language and return; the committee laid the bill over while staff and agencies finalize statutory or rule text.

The committee did not adopt immediate statutory changes today; members expressed bipartisan interest in resolving the service access and duplication issues raised by providers.