Minnesota - Housing Stabilization — Licensing, Medicaid Enrollment and Startup Requirements

Last reviewed: 2026-09-10

The Minnesota Department of Human Services (DHS) funds Housing Stabilization Services (HSS) as a State plan Home and Community-Based Service (HCBS) under Minnesota Statutes, section 256B.051, rather than through a waiver. DHS has officially terminated the HSS program, mandating that no services may be provided or reimbursed after October 31, 2025.

Approval requires passing a criminal background check via the Request for Licensing Agency ID Number (DHS-3891) and submitting specific assurance statements for consultation, transition, or sustaining services through the Minnesota Provider Screening and Enrollment (MPSE) portal. Providers must also navigate the HCBS conflict of interest rule, which strictly prohibits the agency conducting the MNChoices or coordinated entry assessment from delivering the transition or sustaining services without a formal DHS exception.

1. Service Definition and Scope

Housing Stabilization Services (HSS) is a Medical Assistance benefit designed to help people with disabilities and seniors find and keep housing. It is categorized as a State plan HCBS benefit.

The service is divided into distinct components: Housing Consultation, Housing Transition, Housing Sustaining, and Moving Expenses. Remote support is permitted but strictly capped.

• Housing Consultation: Billed per session using procedure code T2024 U8.
• Housing Transition: Billed per 15-minute unit using procedure code H2015 U8.
• Housing Sustaining: Billed per 15-minute unit using procedure code H2015 U8/TS.
• Moving Expenses: Billed one unit per line using procedure code T2038 U8, requiring an electronic claim attachment and AUC cover sheet with receipts.
• Remote Support: Requires modifier U4 and is limited to no more than half of the annual direct service provision for transition and sustaining services.

2. Regulatory and Oversight Agencies

The Minnesota Department of Human Services (DHS) is the primary state agency responsible for enrolling providers, setting policies, and overseeing the HSS program.

Managed Care Organizations (MCOs), such as PrimeWest Health, administer the benefit for their enrolled members and require providers to complete separate facility claim enrollment after DHS approval.

• Minnesota Department of Human Services (DHS): https://mn.gov/dhs/
• Minnesota Provider Screening and Enrollment (MPSE) Portal: https://mn.gov/dhs/partners-and-providers/policies-procedures/minnesota-health-care-programs/provider/mpse/
• MHCP Provider Screening Fee Collections System: https://payments.dhs.state.mn.us/HCProviderPayment.aspx
• PrimeWest Health (MCO): https://www.primewest.org

3. Gatekeeping Prerequisites: Who Can Even Apply

The most definitive structural precondition for this service is its impending termination; DHS has mandated that the HSS program will end, and no services may be provided after October 31, 2025.

For agencies operating before the termination date, the HCBS conflict of interest rule acts as a strict gatekeeper, preventing assessment agencies from providing direct sustaining or transition services without a formal exception.

• Program Termination: DHS has terminated the HSS program; services may not be provided after October 31, 2025.
• Conflict of Interest Rule: The agency that assesses a person or creates their person-centered service plan cannot provide housing transition or sustaining services unless granted a DHS-approved agency exception.
• Application Fee: Providers must pay the enrollment fee via the MHCP Provider Screening Fee Collections System before applying to MHCP.
• Separate Location Enrollment: Providers managing multiple locations must enroll each location separately and pay an application fee for each.

4. Licensure and Certification Requirements

Minnesota does not issue a distinct "Housing Stabilization License." Instead, providers are approved by enrolling directly as Minnesota Health Care Programs (MHCP) providers and attesting to HCBS standards.

Providers must submit specific Applicant Assurance Statements depending on the exact HSS components they intend to deliver.

• Statutory Authority: Services are governed by Minnesota Statutes, 256B.051.
• HCBS Settings Assurance: All applicants must submit the Home and Community-Based Settings Applicant Assurance Statement (DHS-7618).
• Consultation Assurance: Providers offering consultation must submit the Housing Consultation Providers Applicant Assurance Statement (DHS-7968).
• Transition and Sustaining Assurance: Providers offering these components must submit the Housing Transition and Housing Sustaining Applicant Assurance Statement (DHS-7967).

5. Medicaid Provider Enrollment

Providers must register and complete their enrollment online using the Minnesota Provider Screening and Enrollment (MPSE) portal.

The enrollment packet requires standard MHCP agreements, ownership disclosures, and electronic funds transfer setup.

• Enrollment Portal: Applications are processed through the MPSE portal.
• Provider Agreement: Applicants must submit the Fee-for-Service (FFS) only or FFS and Managed Care Organization In-Network Provider Agreement (DHS-4138) or MCO In-Network Provider Agreement (DHS-8355).
• Ownership Disclosure: Required via the Disclosure of Ownership and Control Interest of an Entity (DHS-5259).
• EFT Setup: Required via the EFT Vendor Number Notification (DHS-3725).
• Processing Time: DHS requires 30 days to process enrollments submitted via the MPSE portal or fax.

6. Staffing, Training and Background Checks

All staff working directly with HSS recipients must pass criminal background checks and complete state-mandated training modules.

Training must be completed within specific timeframes relative to the employee's start date.

• Background Studies: Submitted for all owners and managers using the Request for Licensing Agency ID Number (DHS-3891).
• Mandated Training: Staff must complete the annual DHS Vulnerable Adults Mandated Training.
• Service-Specific Training: Staff must complete the Housing Consultant, Transition & Housing Sustaining training within 30 days of their employment start date.
• Training Access: Staff need a unique key provided by DHS to access the required training portal.

7. Documentation, Policies and Records

Providers must maintain Health Service Records in compliance with Minnesota Rules part 9505.2175.

Eligibility for specific members must be documented and requested using state-mandated assessment forms that are within their validity period.

• Eligibility Request: Providers submit eligibility documentation via the Housing Stabilization Services Eligibility Request form (DHS-7948).
• Assessment Validity: The underlying assessment (MNChoices, Professional Statement of Need, or coordinated entry) must not be more than 12 months old.
• Time Tracking: Documentation for hourly or minute-based rates must include start and stop times with a.m. and p.m. designations.
• Remote Documentation: Records for remote support must explicitly state the method of contact and the place of service.

8. Billing, Rates and Claims

Claims are submitted through the MN-ITS system for Fee-for-Service members, while MCOs require adherence to their specific billing manuals.

Modifiers are strictly required to differentiate between in-person and remote service delivery.

• Billing System: Claims are processed through the MN-ITS system.
• Consultation Code: Billed as T2024 U8.
• Transition Code: Billed as H2015 U8.
• Sustaining Code: Billed as H2015 U8/TS.
• Remote Modifier: Modifier U4 must be added to any consultation, transition, or sustaining claim when billing remote support units.
• Moving Expenses: Billed as T2038 U8; requires an Administrative Uniformity Committee (AUC) cover sheet faxed with supporting receipts matching the claim amount.

9. Approval Sequence and Timeline

The enrollment process is sequential, requiring fee payment and background study initiation before portal submission.

Once DHS approves the MHCP enrollment, providers must separately credential with MCOs to serve managed care populations.

• Step 1: Pay the application fee via the MHCP Provider Screening Fee Collections System.
• Step 2: Submit background study requests for owners and managers using DHS-3891.
• Step 3: Submit the enrollment application and required assurance statements via the MPSE portal.
• Step 4: Allow 30 days for DHS to process the MPSE submission.
• Step 5: Complete MCO-specific enrollment (e.g., PrimeWest New Facility Claim Requirements) prior to submitting MCO claims.

10. Common Denials and Survey Findings

Enrollment and claim denials frequently occur due to missing documentation or violations of HCBS structural rules.

Billing errors related to remote support caps and moving expense receipts are common audit findings.

• Conflict of Interest: Denials occur if an agency attempts to provide sustaining services to a member they assessed without a DHS-approved exception.
• Missing Modifiers: Claims are rejected if remote support is billed without the U4 modifier.
• Remote Support Limits: Audit findings occur if remote support exceeds the 50% annual cap for direct service provision.
• Moving Expense Receipts: Claims are denied if submitted receipts include noncovered items or if the receipt amount does not exactly match the line-item amount on the claim.

11. Key Contacts and Resources

Providers should utilize the MHCP Provider Resource Center for enrollment status and the MPSE portal for document submission.

MCO-specific questions must be directed to the respective managed care plan's provider relations department.

• MHCP Provider Resource Center: 651-431-2700 or 800-366-5411.
• DHS Housing Stabilization Services Page: https://mn.gov/dhs/partners-and-providers/policies-procedures/housing-and-homelessness/housing-stabilization-services/housing-stabilization-services.jsp
• MPSE Portal: https://mn.gov/dhs/partners-and-providers/policies-procedures/minnesota-health-care-programs/provider/mpse/
• PrimeWest Health HSS Page: https://www.primewest.org/housing-stabilization-services

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