SCOPE: All employees, individual serviced and contractors of ASSURED are covered by this policy.
PURPOSE
The intent of this plan is to lay the framework of how Assured Residential & Consulting will implement the Direct Service Workforce State Plan and Direct Service Workforce Investment Grant in 2022.
POLICY
FSSA is dedicating $130 million to this opportunity with a requirement that 95% of funding awarded flow through to direct service workers. To be eligible for this funding, providers must comply with the following:
- Active during State Fiscal Year 2022: Defined as having submitted claims for qualifying paid expenditures during State Fiscal Year 2022 (July 1, 2021 - June 30, 2022)
- Currently active: Defined as currently providing services to Medicaid beneficiaries
- Medicaid provider that provides services to individuals in the home and community: As of the date of attestation, providers must be an actively enrolled IHCP provider and delivering the following types of services:
- Adult Day Services
- Adult Foster Care
- Assisted Living
- Attendant Care (including Self-Directed Attendant Care)
- Community/Day Habilitation
- Extended Services
- Facility Based Supports
- Facility Habilitation
- Home Health Services
- Homemaker
- Participant Assistance and Care
- Pre Vocational
- Program of All-Inclusive Care for the Elderly (PACE)
- Residential Habilitation and Support (Hourly & Daily)
- Respite Care
- Structured Family Caregiving
- Waiver Transportation
- Workplace Assistance
To receive funding, eligible providers should submit the attestation form provided by FSSA by Dec. 22, 2022. The form requires providers to attest that they will:
- Direct 95% of the grant funding to direct service workers
- Develop a plan for how they will direct grant resources to direct service workers. Completed plans must be posted to the provider’s public-facing website and submitted in the attestation no later than Dec. 22, 2022. Respond to a final grant impact survey that captures how the dollars were spent
- Obligate money from each round prior to receiving the next round of funding
- Comply fully with the HCBS Settings Rule: After the March 17, 2023 deadline, providers must be compliant in order to receive further rounds of funding.
Written Notice
BDDS and FSSA will be notified of Assured Residential & Consulting’s plan to pay payroll tax liabilities and to increase the wages and benefits paid to DSPs who work on an hourly basis by 12/22/2022.
All DSPs of Assured Residential & Consulting will be notified of Assured Residential & Consulting plan to pay payroll tax liabilities and to increase the wages and benefits of DSPs through written and electronic form by 12/22/2022, including the posting of this plan to Assured Residential & Consulting’s website by 12/22/2022.
Maintenance of Records
Assured Residential & Consulting shall maintain all books, documents, papers, accounting records, and other evidence required to support the reporting of payroll information for payment of payroll tax liabilities and for increased wages and benefits to eligible direct care staff. Wages are defined as:
Total compensation, including paid time off and training, less overtime and shift differential for direct care staff providing services to individuals receiving the affected services as reported on the provider's payroll records.
Assured Residential & Consulting will make these materials available at its offices at all reasonable times and for three (3) years from the date of final payment for the affected services for inspection by the state or its authorized designees. Assured Residential & Consulting shall furnish copies at no cost to the state if requested.
Recoupment
The Office of the Secretary of FSSA or its designee may recoup all or a part of the amount paid using the increased reimbursement rates based upon an audit or review of the supporting documentation required to be maintained if Assured Residential & Consulting cannot provide adequate documentation to support the payment of payroll tax liabilities and the payment of increased wages and benefits to direct care staff (DSPs). This may include a recoupment of the difference between ninety-five percent (95%) of the amount received by Assured Residential & Consulting as a result of increased reimbursement rates and the amount of the increase that is actually used by the provider to pay payroll tax liabilities and to pay an increase in wages and benefits to direct care staff (DSPs).
PROCEDURE
As of 12/22/2022, BDDS has made available through the Direct Service Workforce State Plan and Direct Service Workforce Investment Grant. The BDDS is requiring that at minimum 95% of this amount be used to benefit the employees directly working with the Individuals served. Assured Residential & Consulting has decided to use this 95% of the grant received to pay payroll tax liabilities and to increase the wages and benefits paid to DSPs. This means, dependent on the amount of funds received through the grant by Assured Residential and Consulting, we plan on increasing the rate at which DSPs are compensated through payroll tax liabilities, increased wages, or benefits while providing the following services:
- Community/Day Habilitation
- Participant Assistance and Care
- Residential Habilitation and Support (Hourly & Daily)
- Respite Care
- Waiver Transportation
- All other services previously mentions are not currently being provided by Assured Residential & Consulting at the effective date of this policy.
Assured Residential & Consulting will ensure a minimum of 95% of the rate increase will be used to pay payroll tax liabilities, increase wages, and benefits through the following:
- The increase in the rate will be dispersed to DSPs by increasing the hourly rate earned by DSPs when providing the previously mentioned services to Individuals. The increase in the hourly rate will vary by DSP depending on the time the employee has been employed by Assured Residential & Consulting and the amount of funds received through the Grant.
- The Grant will also be used to pay the additional payroll tax liabilities of the increase in hourly earnings through the current payroll company (ADP) used by Assured Residential & Consulting.
- Currently, an increase in benefits (i.e. health insurance, dental insurance, etc…) offered to DSPs as a result of the Grant will not be offered as the Grant will only be spent on increasing the hourly rates and paying the payroll tax liabilities of the DSPs.
- This Grant, dependent on the amount of funds received, will hopefully increase the hourly pay of all DSPs eligible to receive funds to a minimum of $15.50 per hour with some eligible to receive $16.00 per hour. This increase will be determined by each employee’s current hourly pay rate, and how long each employee has worked for Assured Residential & Consulting, their current position. The increase in hourly rate will be affected by the amount of funds that will be required by the need to pay payroll tax liabilities on the increased rate. This increase in rate will also take into account tax brackets and if changes in the amount of taxes paid are required as a result of the pay increase. See figure A below for a detailed explanation of tax brackets as of 7/1/2021.
- If the DSP’s hourly pay increase does not meet the minimum of 95% of the Grant used per month, at the end of every month the DSP(s) will receive a bonus, determined by the number of hours worked with the Individual served, to ensure 95% of the Grant has been used properly.
- To ensure that all DSPs of Assured Residential & Consulting are notified of the rate increase and Assured Residential & Consulting’s plan to implement the rate increase, a printed copy of the plan will be provided to all DSPs by their direct supervisor and an electronic copy will be emailed to each DSP through the email address on file in Assured Residential & Consulting electronic documentation system by 12/22/2022. Information of this plan will also be communicated to all DSPs by text message (SMS), as well as posted to the Assured Residential & Consulting website.
| Figure A 2021 Federal Tax Brackets | |||
| Rate | For Single Individuals | For Married Individuals Filing Joint Returns | For Heads of Households |
| 10% | Up to $9,950 | Up to $19,900 | Up to $14,200 |
| 12% | $9,951 to $40,525 | $19,901 to $81,050 | $14,201 to $54,200 |
| 22% | $40,526 to $86,375 | $81,051 to $172,750 | $54,201 to $86,350 |
| 24% | $86,376 to $164,925 | $172,751 to $329,850 | $86,351 to $164,900 |
| 32% | $164,926 to $209,425 | $329,851 to $418,850 | $164,901 to $209,400 |
| 35% | $209,426 to $523,600 | $418,851 to $628,300 | $209,401 to $523,600 |
| 37% | $523,601 or more | $628,301 or more | $523,601 or more |