Board Resolutions 94181R, 95675, 96662, 98164, 00374, 06123, and 170302 authorized contracts allowing Hennepin County and its partners in Local Family Services Collaboratives and the Children's Mental Health Collaborative to implement Local Collaborative Time Study (LCTS) revenue enhancement activities and designated the County to serve as the fiscal agent for LCTS activities, as required by state legislation. A continuous agreement between Hennepin County and the state is required to establish the authority for LCTS claiming.

Hennepin County has served as the fiscal agent for LCTS funds on behalf of all local Family Services Collaboratives and the Children's Mental Health Collaborative since 1994. The LCTS is a method of claiming federal reimbursement for eligible activities performed by the public partners in local collaboratives. The LCTS claims federal administrative reimbursements from Foster Care and Adoption Assistance through Title IVE and Medical Assistance through Title XIX. Federal revenue earned through LCTS must be under the control of either a Family Services Collaborative or a Children's Mental Health Collaborative that has been approved by the state and the revenue must be used to develop or expand prevention, early intervention and mental health services to children and families. These revenues cannot be used to supplant other revenues or fund out-of-home placements. Counties are required to be the fiscal reporting and payment agent for the LCTS. Hennepin County disburses the funds through contracts to 21 partner organizations. LCTS was established in 1994 to create new funds for children and families in Hennepin County, which is distributed among the Family Services Collaboratives and the Children's Mental Health Collaboratives in the county. At present, LCTS earnings generate approximately $4,000,000 per year in Hennepin County.