The state of Minnesota legislates that rates paid for adult foster care through Group Residential Housing (GRH) funds must not exceed the rate paid by an individual not receiving a GRH rate. Essentially, no individual placed in adult foster care (whether public or private pay) can pay less than the state-established base rate, also known as "room-and-board." The actual reimbursement for the care of a resident is set on a case-by-case situation (in family homes), or facility costs (in corporate homes). Some individuals pay privately, if their assets do not allow them to qualify for public funding.
More commonly, residents qualify for public funding-at least in part. Some residents receive multiple sources of public funding which supports their placement (i.e. GRH, SSI, Social Security Survivor's Benefits, RSDI, etc.). Some residents have employment income or other assets that are evaluated in order to determine whether they qualify for public funding, or whether they must either "spend-down" or contribute partial payment from these other sources of income/assets.
Some residents also qualify for "waivered services" funding under the federal Medicaid program. Examples of such waivers include: Home-and-Community-Based Waivers for Persons with Developmental Disabilities (HCBW), Community Alternatives for Disabled Individuals (CADI) Waiver, Elderly Waiver (EW), Alternative Care (AC) Waiver, and Traumatic Brain Injury (TBI) Waiver. Waivered services funding pays for services to the individual resident.