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HCBS 245D License Provider Guide

HCBS (245D) Waiver License Enrollment Guide This guide is for those looking to become a Home and Community Based Services (HCBS) 245D provider in Minnesota. It outlines eligibility, staffing requirements, timelines, and costs involved in applying for and operating under the 245D waiver.

Who Can Apply?

Any individual or business entity can own a 245D agency in Minnesota. Owners do not need to meet staff qualification criteria, but they must hire a qualified Designated Coordinator and Designated Manager who meet state licensing requirements.

What You Need to Get Started

To qualify, your agency must have both a Designated Coordinator and a Designated Manager. The Coordinator must meet one of the following: A bachelors degree in a human services field and 1 year of direct care experience.  An associate degree in human services and 2 years of direct care experience. A diploma in human services and 3 years of direct care experience. 50 hours of training in human services and 4 years of supervised work in direct care.

The Designated Manager must also meet coordinator requirements and have at least 3 years of supervisory experience in services for individuals with disabilities or over age 65.

Both positions require training and a background check.

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Staff Requirements

  • Designated Coordinator (can be the same as the Manager)
  • Designated Manager

*One person may serve both roles if qualified.

Optional: Direct Support Professionals (not required to apply but necessary to operate services).

Application Process and Timeline

You'll need to submit an application with supporting documents, policies, and staff qualifications. You must also complete required DHS training and pass background studies. Time to launch depends on how quickly you secure qualified staff, complete paperwork, and pass state review.

Cost of Setup

Standard Package: $3,500
Premium Package (includes temporary staffing for DC/DM): $8,000
State Fee (paid separately to DHS): $730 per service location.

Reimbursement Rates

  • Adult Companion: $7.90 per 15 min
  • Homemaker Services: $7.90 per 15 min
  • ICLS (Individual Community Living Support): $9.16 per 15 min

Rates are set by DHS. For full details, view: edocs.dhs.state.mn.us

Important Resources
DHS Waiver Training & Forms
Direct links to job descriptions and documentation templates
Step-by-step guidance on building your agency from the ground up

Key Takeaways

  • You need qualified staff (DC and DM) before applying
  • You'll need to complete mandatory training and submit supporting materials
  • Investing in the right support upfront helps you avoid delays and ensures compliance