Community Services Update 7/7/16

State Budget 2016-17 & ABX2-1 http://www.dds.ca.gov/ratechangesJuly2016/index.cfm

ABX2-1 Service Provider Rate Increases effective 7/1/16

ABX2-1 Direct and Administrative Increases

Required Tracking of Funds Per WIC 4691.10 (b)(4) by October 1, 2017 DDS will conduct a survey of all service providers that received this rate increase to determine how the rate was used It is important to note that any provider who does not report the information requested by October 1, 2017, will forfeit the rate increase (4691.10 (e)).

Required Tracking of Funds, con’t Per WIC among the items that DDS will request as part of the survey will be: Number of employees and their salary, wage, and benefit costs, and increases provided Percentage of time each employee spends providing direct services. Administrative expenses, consistent with subdivision (b) of Section 4629.7 Any additional information as determined by DDS

Methodology for tracking the increase Rate as of 6/30/16 is $80.21 p/hr for an 805 Rate increase as of 7/1/16 is 7.12% (6.66% is for direct services & 0.46% is for administrative) New Rate as of 7/1/16 is $85.92 To determine direct & admin increase amount: ($80.21 x 1.0666) - $80.21 = $5.34 increase for direct ($80.21 x 1.0046) - $80.21 = $0.37 increase for admin

Methodology for tracking the increase, con’t Sample calculation for determining additional direct & admin funds for service code 805 vendor: Month Units Billed Total Reimbursement Additional direct service funds Additional admin funds June ’16 975 $78,204.75 - July ’16 $83,772.00 $5,206.50 $360.75

ARM 5 bed and above

ARM 4 bed and less

Community Based Day Program and In-Home Respite Agencies

Work Activity Programs and SEP