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Start a business · Behavioral health clinic · Minnesota

How to start a behavioral health clinic in Minnesota

Minnesota requires a Chapter 245G Substance Use Disorder Treatment program license (DHS); Chapter 245I.20 certified mental health clinic (certification); CCBHC certification from Minnesota Department of Human Services — Licensing Division (245G license, 245I clinic certification); DHS Behavioral Health for CCBHC certification to operate a behavioral health clinic. Fee: Initial license or certification application fee under Minn. Stat. 245A.10 subd. 3: $2,100 generally (nonrefundable, in lieu of the first annual fee), or $500 for a mental health clinic certification. Annual fees: 245G SUD treatment programs pay by licensed capacity ($2,600 for 1-24 persons, $3,000 for 25-49, $5,000 for 50-74, $10,000 for 75-99, $15,000 for 100-199, $20,000 for 200+). Certified mental health clinics pay $1,550 a year (satellites included).

Verified Oct 6, 2026Sources: state agencies, CMS and OIG

License required
YesChapter 245G Substance Use Disorder Treatment program license (DHS); Chapter 245I.20 certified mental health clinic (certification); CCBHC certification
Application fee
See details
Processing time
—
Mental health counseling
$0.45
Organizations in the state
2,344NPPES, Sep 13, 2026
On this page
Licensing

Minnesota behavioral health clinic license

Minnesota requires a Chapter 245G Substance Use Disorder Treatment program license (DHS); Chapter 245I.20 certified mental health clinic (certification); CCBHC certification from Minnesota Department of Human Services — Licensing Division (245G license, 245I clinic certification); DHS Behavioral Health for CCBHC certification to operate a behavioral health clinic. Fee: Initial license or certification application fee under Minn. Stat. 245A.10 subd. 3: $2,100 generally (nonrefundable, in lieu of the first annual fee), or $500 for a mental health clinic certification. Annual fees: 245G SUD treatment programs pay by licensed capacity ($2,600 for 1-24 persons, $3,000 for 25-49, $5,000 for 50-74, $10,000 for 75-99, $15,000 for 100-199, $20,000 for 200+). Certified mental health clinics pay $1,550 a year (satellites included).

License required
Yes
License
Chapter 245G Substance Use Disorder Treatment program license (DHS); Chapter 245I.20 certified mental health clinic (certification); CCBHC certification
Fee
Initial license or certification application fee under Minn. Stat. 245A.10 subd. 3: $2,100 generally (nonrefundable, in lieu of the first annual fee), or $500 for a mental health clinic certification. Annual fees: 245G SUD treatment programs pay by licensed capacity ($2,600 for 1-24 persons, $3,000 for 25-49, $5,000 for 50-74, $10,000 for 75-99, $15,000 for 100-199, $20,000 for 200+). Certified mental health clinics pay $1,550 a year (satellites included).
Renewal
Every year · Annual nonrefundable license/certification fee (see fee_text); fees run on a calendar year ending December 31.
Accreditation
Not required for 245G licensure. Minnesota DHS certifies CCBHCs (see DHS CCBHC page).
Regulation
Minn. Stat. chapters 245A (fees at 245A.10), 245G (SUD treatment), 245I (mental health uniform service standards, clinics at 245I.20)
How to apply

Steps to get licensed in Minnesota

In order, as the licensing agency describes the process.

  1. Choose the credential: 245G license for SUD treatment and/or 245I.20 certification for a mental health clinic
  2. Submit the application to DHS Licensing with the nonrefundable application fee (DHS does not process an application until the fee is paid)
  3. Meet the 245G or 245I standards, including staffing, policies and background studies, and complete DHS licensing review
  4. Pay the annual fee to keep the license or certification
  5. For CCBHC status, meet DHS CCBHC requirements and complete DHS CCBHC certification
Documents

What you need to submit

2 documents listed by the licensing agency.

Document
DHS license or certification application
Application fee
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Medicaid

Enrolling as a Minnesota Medicaid provider

Program
Minnesota Health Care Programs (MHCP) — Medical Assistance and MinnesotaCare (Minnesota DHS)
Fiscal agent
None named — Minnesota DHS enrolls providers itself (MPSE/MN-ITS)
Application fee
DHS's Minnesota Revalidate 2026 FAQ refers to a revalidation fee that applies to some providers. Federal rule (42 CFR 455.460): the state must collect the CMS application fee from institutional providers that are newly enrolling or re-enrolling; individual physicians and non-physician practitioners are exempt, as are providers already enrolled in (or that already paid the fee to) Medicare or another state's Medicaid/CHIP. CMS set the fee at $750 for calendar year 2026.
Fingerprinting
Minnesota runs background studies through NETStudy 2.0; DHS's revalidation FAQ covers when fingerprints are needed for high-risk revalidation. Federal rule (42 CFR 455.434, 455.450(c)): providers the state places in the 'high' categorical risk level, and anyone owning 5% or more of such a provider, must submit fingerprints for a criminal background check.
Site visit
As part of Minnesota Revalidate 2026, DHS does unannounced site visits for high-risk services, including at locations where providers had never had one before. Federal rule (42 CFR 455.432, 455.450(b)-(c)): the state must do site visits before and after enrollment for providers in the 'moderate' or 'high' risk levels, and any enrolled provider must allow unannounced on-site inspections.
Revalidation
Under the federally directed 'Minnesota Revalidate 2026' effort, providers of 13 services designated high risk had to complete an off-cycle revalidation by May 31, 2026; those who did not got disenrollment notices, with appeal rights. Notices arrive in the MN-ITS mailbox and providers revalidate in MPSE. Federal rule (42 CFR 455.414): every enrolled provider must be revalidated at least once every 5 years.

Full Minnesota Medicaid enrollment guide →

Certificate of need

Does Minnesota require a certificate of need?

CON program
No
Moratoria
Hospital moratorium (Minn. Stat. §144.551): no new hospitals and no construction that increases hospital bed capacity or relocates beds, except projects specifically listed in statute (many after a Department of Health public interest review). Nursing home moratorium (Minn. Stat. §144A.071): the commissioners of health and human services must deny requests for new licensed or certified nursing home or certified boarding care beds unless an exception or the moratorium exception process in §144A.073 applies.

Minnesota certificate of need details →

Labor

Minnesota wage floor

State minimum wage
$11.41 an hour
Effective
2026-01-01
Scheduled increases
Rises to $11.87 on 2027-01-01 (inflation adjustment); 90-day training wage for workers under 20 is $9.68.
Direct-care wage floor
Nursing Home Workforce Standards Board minimum wages for nursing home workers, effective 2026-09-10: general worker $19.00, CNA $22.50, trained medication aide $23.50, LPN $27.00; rising 2027-01-01 to $20.50, $24.00, $25.00 and $28.50.
Rate pass-through
Personal care assistance agencies must spend at least 72.5% of Medicaid PCA revenue on PCA wages and benefits.
HCBS 80/20 rule
Federal baseline: 42 CFR 441.302(k) requires the state to show that each provider spends at least 80% of Medicaid payments for homemaker, home health aide and personal care services under 1915(c) waivers on direct care worker pay and benefits. Compliance starts 2030-07-09 (for managed care, the first rating period starting on or after that date); annual payment-adequacy reporting under 441.311(e) starts 2028-07-09. A state may set a lower share for state-defined small providers and exempt providers facing hardship, each only through a public notice-and-comment process. The eCFR text has not changed since 2024-07-09. No state-published 80/20 implementation step (small-provider criteria, hardship exemption or reporting guidance) was found for this state in the official sources reviewed.
Market

Minnesota market size

Counts from federal public files: NPPES (active organization NPIs), CMS Care Compare and CMS Medicaid enrollment.

Community/behavioral health agencies and mental health clinics — active organization NPIs (NPPES)
2,344 (as of Sep 13, 2026)
Total Medicaid and CHIP enrollment (latest reported month)
1,128,624 (as of Jun 1, 2026)
Rates

What Minnesota Medicaid pays

Behavioral health: published Minnesota fee-for-service rates, each linked to its source.

ServiceCodeMinnesota ratePer hourRank
Mental health counselingLicensed mental health clinicianH0046$0.45——
Outpatient psychotherapy and diagnostic evaluationLicensed mental health clinician90846$87.61—9 of 28
Mental health assessment (non-physician)Physician or licensed psychologistH2000$135.83—11 of 27
Skills training and developmentPhysician or licensed psychologistH2014$12.80per 15 min$51.2017 of 33
Therapeutic behavioral servicesPhysician or licensed psychologistH2019$6.03per 15 min$24.1224 of 28

All Minnesota Behavioral health Medicaid rates, ranked →

Waivers

Minnesota HCBS waivers

Medicaid home and community-based services programs that may pay for this service.

  • Alternative Care program — Reform: Pathways to Independence Section 1115 demonstration (1115)
  • Brain Injury (BI) Waiver (1915(c))
  • Community Alternative Care (CAC) Waiver (1915(c))
  • Community Access for Disability Inclusion (CADI) Waiver (1915(c))
  • Community First Services and Supports (CFSS) (1915(k))
  • Developmental Disabilities (DD) Waiver (1915(c))
  • Elderly Waiver (1915(c))

Minnesota waivers and waiting lists →

FAQ

Frequently asked questions

Do you need a license to start a behavioral health clinic in Minnesota?

Minnesota requires a Chapter 245G Substance Use Disorder Treatment program license (DHS); Chapter 245I.20 certified mental health clinic (certification); CCBHC certification from Minnesota Department of Human Services — Licensing Division (245G license, 245I clinic certification); DHS Behavioral Health for CCBHC certification to operate a behavioral health clinic. Fee: Initial license or certification application fee under Minn. Stat. 245A.10 subd. 3: $2,100 generally (nonrefundable, in lieu of the first annual fee), or $500 for a mental health clinic certification. Annual fees: 245G SUD treatment programs pay by licensed capacity ($2,600 for 1-24 persons, $3,000 for 25-49, $5,000 for 50-74, $10,000 for 75-99, $15,000 for 100-199, $20,000 for 200+). Certified mental health clinics pay $1,550 a year (satellites included).

How much does a behavioral health clinic license cost in Minnesota?

Initial license or certification application fee under Minn. Stat. 245A.10 subd. 3: $2,100 generally (nonrefundable, in lieu of the first annual fee), or $500 for a mental health clinic certification. Annual fees: 245G SUD treatment programs pay by licensed capacity ($2,600 for 1-24 persons, $3,000 for 25-49, $5,000 for 50-74, $10,000 for 75-99, $15,000 for 100-199, $20,000 for 200+). Certified mental health clinics pay $1,550 a year (satellites included). Renewal: Every year · Annual nonrefundable license/certification fee (see fee_text); fees run on a calendar year ending December 31..

Does Minnesota require a certificate of need for a behavioral health clinic?

No. Minnesota has no certificate of need program.

How do you become a Medicaid provider in Minnesota?

Enroll through Minnesota Provider Screening and Enrollment (MPSE) portal (https://mn.gov/dhs/partners-and-providers/enroll-with-mhcp/), run by None named — Minnesota DHS enrolls providers itself (MPSE/MN-ITS).

What does Minnesota Medicaid pay a behavioral health clinic?

Minnesota Medicaid pays $0.45 for mental health counseling, effective Jan 1, 2024.