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Legislative News and Views - Rep. Krista Knudsen (R)

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RELEASE: Rep. Knudsen Raises Alarm Over DHS Actions Affecting Care Providers Across Minnesota

Friday, June 5, 2026

Rep. Knudsen Raises Alarm Over DHS Actions Affecting Care Providers Across Minnesota

St. Paul, MN — Representative Krista Knudsen (R-Lake Shore) is expressing serious concern after hearing from providers across Minnesota who say they are facing enrollment terminations and payment disruptions despite complying with state requirements.

While recent reports have focused on non-emergency medical transportation providers, Rep. Knudsen says the issue appears to be affecting a broader range of services, including residential group homes that care for vulnerable Minnesotans.

"I am deeply concerned by what I am hearing from providers in my district," Knudsen said. "These are organizations that care for some of the most vulnerable people in our state. When payments are withheld or providers are terminated despite making every effort to comply with DHS requirements, it creates uncertainty not only for the providers themselves, but for the people who depend on their services every day."

One provider that contacted Rep. Knudsen serves dozens of individuals with disabilities and reports that it completed its revalidation process on time, worked directly with DHS to ensure compliance, and submitted all required documentation. Despite those efforts, the provider says payments have been cut off while it waits for DHS to complete its review.

"For many of these organizations, this is not a minor inconvenience," Knudsen said. "They are continuing to provide care, pay staff, and meet the needs of their residents while operating without the reimbursement they rely on. That is simply not sustainable."

Rep. Knudsen emphasized that combating fraud is an important responsibility of state government, but questioned whether providers that have complied with requirements should be facing the same consequences as bad actors.

"We all want accountability and proper oversight," Knudsen said. "But there is a significant difference between addressing fraud and penalizing providers that have acted in good faith and fulfilled their obligations. If providers are being caught up in administrative delays or unresolved reviews, that should concern all of us."

Knudsen is urging DHS to provide answers, resolve outstanding reviews as quickly as possible, and ensure that providers serving vulnerable Minnesotans are not unfairly penalized while awaiting action from the department.

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