This type of waiver is frequently referred to as "Katie Beckett Waiver" or TEFRA. Katie's mother fought for support so Katie could stay at home.
The Waiver allowed states to make Medicaid benefits available to certain children with developmental disabilities who would not ordinarily be eligible for Supplemental Security Income (SSI) benefits because of their parent's income or resources. Services could be provided at the same level a child would receive had she been institutionalized.
In 1977, there were approximately 9,300 residential settings for 15 or fewer people with developmental disabilities. Three quarters of them were for six or fewer people. Almost all of the facilities (98.5%) were operated by non-state agencies.
Over the next ten years, the number of residential settings for 15 or fewer people almost tripled to 31,820 settings. Again, 98% of them were operated by non-state agencies.