File #: 2024-462   
Type: Administrative Item Status: Passed
In control: Board of Commissioners
On agenda: 10/15/2024 Final action: 10/15/2024
Title: County Burial Assistance Program Rate Increase
Sponsors: Financial Assistance Services
Attachments: 1. Resolution

                                                                                                         

Sponsor: Financial Assistance Services

 

Title

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County Burial Assistance Program Rate Increase

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Recommendation

recommendation

Approve an increase to Ramsey County’s Burial Assistance Program rates.

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Background and Rationale

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Minnesota Statutes 261.035 require counties to pay for the funeral and final disposition of a resident who dies without the means to cover costs. The Ramsey County Board of Commissioners established policies for the County Burial Assistance Program and the Financial Assistance Services (FASD) department developed procedures to communicate and implement the policy.

 

The current burial assistance rate provided by Ramsey County was last updated in 2016. From January 1, 2023 to December 31, 2023, 498 applications were approved. The average payment of an approved application was $1,347. From January 2, 2024 to October 6, 2024, 380 applications were approved, and the average payment of approved application was $1,313.

 

The cost of funeral services has risen significantly due to inflation, increased operational costs for funeral homes, and other economic factors. Ramsey County’s burial assistance rate is much lower than those of neighboring metro counties. Even though some funeral directors have been accepting these lower rates, the overall increase in costs associated with burial services continue to outpace the assistance Ramsey County provides.

 

The following table shows current and proposed rates.

 

Services

Current rate

Proposed rate

Family Contribution

Funeral

$1,560

$2,000

No change with family contribution,  ($830)

Cremation 

$910.35

$1,200

No change with family contribution,  ($830)

Burial/Cemetery

$715

$1,200

No change with family contribution ($1,300)

 

A resident’s counted assets and resources are applied to reduce Ramsey County payment amount. The maximum amount a family can be asked to contribute by the vendor (in addition to the county's payment) is $830 for funeral or cremation expenses, and $1,300 for burial/cemetery. The maximum cost is intended to ensure that services are provided at an affordable rate and that county funds are only used when a family would not otherwise be able to cover reasonable funeral and interment expenses.

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County Goals (Check those advanced by Action)

       Well-being             Prosperity                 Opportunity                 Accountability

 

Racial Equity Impact

In alignment with Ramsey County’s policy of advancing racial equity, FASD is committed to ensuring that all residents have access to opportunities and services provided by the county. Historically, economic disparities have disproportionately affected communities of color, particularly access to affordable burial services. By raising the burial assistance rate, FASD aims to reduce the financial burden on low-income families, many of whom are from communities of color. This adjustment will help provide more equitable opportunities for these families to access dignified and culturally appropriate burial services, ensuring that every individual in Ramsey County can be laid to rest with respect, regardless of their financial circumstances.

 

Community Participation Level and Impact

Valuable feedback from local funeral directors has played a crucial role in shaping the decision to increase the burial assistance rate. Funeral directors provided essential insights into the challenges they face in offering affordable services. They shared that the current rates make it difficult to cover basic costs, limiting the options available to families in need. By incorporating their feedback, FASD is ensuring that the rate increase not only helps families, but also enables funeral homes to provide more dignified and culturally appropriate services. 

  Inform              Consult                                 Involve                      Collaborate        Empower                     

 

Fiscal Impact

The proposed increase for remainder of 2024 is approximately $80, 000. The annual budget impact in 2025 is approximately $250,000. The 2024 Budget for Burial Assistance is $550,000. As of October 7, 2024, a total of $485,117 has been expended leaving a balance of $64,883. The proposed increase for 2024 will exceed the remaining budget; however, surplus from other areas of the Health and Wellness Service Team will cover the shortfall and there will be no impact to levy.

 

 

Last Previous Action

On December 22, 2015, the Ramsey County Board of Commissioners approved the Ramsey County Burial Assistance Program payment rates, of $1,560 for funeral services, $910.35 for cremation services, and $715 for cemetery services, effective January 1, 2016 (Resolution B2015-403) 

 

Attachments

None