Subpart 1.
Voluntary shifts.
After the extended employment contract has
been executed, a provider may request voluntary shifts in the distribution of
the total allocation amount among the subprograms. Voluntary shifts may be made
according to the parameters in part 3300.6035, subpart
3, item C. A shift in the
distribution of the allocation requires a renegotiated provider
contract.
Subp. 2.
Underproduction penalty.
A. After
the compliance audit reconciliation process under part 3300.6060 for a previous
fiscal year is complete, the commissioner must determine if a provider is
subject to an underproduction penalty for a particular subprogram.
B. A provider is subject to an
underproduction penalty for a particular subprogram when the provider's audited
production for a particular subprogram in a fiscal year is less than 95 percent
of the provider's allocation for that subprogram in the fiscal year.
C. An underproduction penalty means the
commissioner must adjust a provider's subprogram allocation for that subprogram
in the subsequent fiscal year's contract downward, except as provided by
subpart 3.
D. The downward adjustment for that
subprogram's allocation must be the audited subprogram production in the
audited fiscal year plus five percent of the audited fiscal year's subprogram
contract allocation.
Subp.
3.
Waiver from underproduction penalty.
If a
provider is subject to an underproduction penalty in a particular subprogram as
described in subpart 2, the
provider is eligible for either a one-year waiver or a catastrophic waiver from
the underproduction penalty.
A. If a
provider earns 90 percent to 95 percent of a subprogram allocation, the
provider is eligible for a one-year waiver from the underproduction penalty for
a particular subprogram. The commissioner must provide the waiver without a
request process. A provider is ineligible to receive the one-year waiver for a
particular subprogram in any two consecutive fiscal years. A provider is
eligible for the one-year waiver in each particular subprogram.
B. If a provider earns less than 90 percent
of a subprogram allocation and demonstrates it is experiencing an extraordinary
and catastrophic circumstance under this item, the commissioner may issue a
catastrophic waiver from the underproduction penalty.
(1) For purposes of this subpart, an
"extraordinary and catastrophic circumstance" means a fire or other natural
disaster that is beyond the control of the provider that has adversely affected
or completely halted operations such that extended employment individuals have
been unable to work or extended employment provider staff have been unable to
provide extended employment services.
(2) A provider seeking a catastrophic waiver
to the contract starting point must request this variance in a manner
prescribed by the commissioner and shall:
(a)
state the reasons for the request;
(b) submit independent documentation of the
extraordinary and catastrophic circumstances;
(c) demonstrate how the extraordinary and
catastrophic circumstances resulted in the loss of work hours of extended
employment individuals; and
(d)
submit a measurable work plan for corrective action to meet contracted hours
during the next contract period.
(3) A provider is eligible for the
catastrophic waiver in each particular subprogram. A provider is ineligible for
the catastrophic waiver for a particular subprogram in any two consecutive
fiscal years.
Notes
Minn. R. agency 139, ch. 3300, EXTENDED EMPLOYMENT PROGRAMS, pt. 3300.6040
