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Compensation- related requirement

The 2014 legislation requires that providers use 80 percent of funds from the July 1, 2014, 5 percent rate adjustment to increase wages and compensation-related costs for eligible employees. This requirement applies to all home and community-based waiver and home care providers, intermediate care facilities for people with developmentally disability (ICFs/DD) facilities and state grantees.

Providers must develop a distribution plan that includes an estimate of the amount of money to be used for employee increases and details distribution of the funds. Providers must post the distribution plan by Jan. 1, 2015, in an accessible location for employees for at least six weeks. The plan also needs to be available for review by the DHS upon request.

The distribution plan needs to include information for employees who believe they did not receive the compensation-related requirement. The plan must include the mailing address, email address and telephone number of the commissioner's representative.

Providers that have employees represented by an exclusive bargaining unit must obtain a letter accepting the distribution plan signed by the exclusive bargaining agent. This letter must be provided to the commission upon request. DHS may recoup funds from providers who fail to comply with this requirement.

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