MINNESOTA—Minnesota’s Department of Health and Human Services (DHS) announced it is issuing a two-year pause on new licenses for group home and home health aide providers, going into effect on Jan. 1, 2026. The state said this decision was made with the hopes of allowing the state to focus more “on improving oversight of existing licensed providers.”
“The unprecedented increase in provider applications over the past five years far outpaces the increase in people receiving services,” said temporary Human Services Commissioner Shireen Gandhi. “This has stretched our resources and created frustrating backlogs for people applying for licenses. Pausing will allow us to provide necessary oversight of existing providers and better protect the health and safety of people receiving services.”
During the pause, the DHS will:
• Stop accepting new applications for home and community-based services licenses.
• Stop adding new service lines to currently licensed providers.
• Cancel all pending applications and pending requests for new service lines.
The Minnesota Legislature gave the Department of Human Services the authority to pause licensing temporarily, beginning in July. The agency provided information about this new authority to all license holders and provider organizations over the summer. The moratorium is set to last through Dec. 31, 2027.
The decision received criticism from the Association of Residential Resources in Minnesota (ARRM), who said the decision has “blindsided the disability services field.”
"This administration continues to govern from behind closed doors,” said Sue Schettle, the ARRM CEO, in a news release. “Decisions that reshape the disability services landscape are being made in secrecy, and providers—the organizations delivering critical care every day — are treated as an afterthought. This is not partnership. This is disrespect.”
“To ensure people across Minnesota can access the services they need, an exception process will be available based on requests from a lead agency,” DHS said in a released statement. “If an exception is granted, an existing or new provider may submit a license application or request to add a new services, which will follow the standard review process and must meet all licensing requirements. Before Jan. 1, 2026, DHS will finalize and publicly share the processes and criteria for granting exceptions requested by lead agencies.”