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Minn. committee lays over bill to convert Clay County beds into youth psychiatric residential treatment facility

2673233 · March 18, 2025

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Summary

Lawmakers heard testimony on House File 1380, which would fund renovation and higher per‑diem rates to open an 18‑bed psychiatric residential treatment facility in Clay County; the committee laid the bill over for possible inclusion in the omnibus bill.

Representative Jennifer Keeler moved to lay over House File 1380, a bill to create a psychiatric residential treatment facility (PRTF) in Clay County and to set start‑up and per‑diem funding, and the Human Services Finance and Policy Committee agreed to lay the bill over for possible inclusion in a future omnibus bill.

The bill would remodel an existing nonsecure juvenile detention space into an 18‑bed PRTF, seek an estimated $1,500,000 in upfront costs before DHS reimbursements, and set a proposed per‑diem rate of $1,800 to cover operational costs, Representative Keeler said. Keeler described the effort as bipartisan and regional and said Clay County has engaged higher education partners and a behavioral health operator, Solutions Behavioral Health, to sustain the facility.

Clay County Commissioner Jenny Mojo testified in support, saying Minnesota has a shortage of PRTFs for children with complex and co‑occurring mental health needs. Mojo cited Department of Human Services placement data reported in an October 2024 Star Tribune article, noting that of 281 children referred to the state's four existing PRTFs, only 66 were admitted; statewide licensed capacity was 150 but only 85 children were being served as of June 2024, she said. Mojo told legislators Clay County has invested more than $175,000 in pre‑design work and has the operational partnerships in development.

Committee members questioned operational details. Representative Goin asked whether Clay County’s existing beds are full; Mojo replied that Clay County’s secure juvenile detention beds are at capacity with waiting lists and that the bill would convert nonsecure space to add PRTF capacity without reducing secure bed availability. Members pressed about staffing and rates; Mojo said the PRTF classification carries a different incurred‑cost profile than existing secure or nonsecure juvenile rates and that financial viability is the primary barrier that the bill seeks to address.

Supporters and members framed the bill as a way to keep children in state and avoid out‑of‑state placements that counties currently pay for, with Representative Hicks and others citing large out‑of‑state costs and oversight gaps when children are placed out of state. Multiple members expressed bipartisan support for building capacity in greater Minnesota so families can access care locally.

The committee took no final funding vote; Vice Chair Keeler’s motion to lay House File 1380 over for possible inclusion in the omnibus bill was approved and the bill was laid over.