Rate Changes Due To Minimum Wage Increase, January 1, 2017
Due to the enactment of Senate Bill (SB) 3, the California minimum wage will increase to $10.50 per hour, effective January 1, 2017, for employers with 26 or more employees. As a result, a number of regional center vendors may be eligible for a rate adjustment in order to pay employees the new minimum wage.
Which Providers/Services are Eligible?
All providers of services with rates established in the following ways may be eligible for a rate adjustment:
- Rates set by the Department of Developmental Services (DDS);
- Rates set by Far Northern Regional Center through negotiation;
- Rates established in regulation
How will rates be adjusted?
This depends on how the service rate was set initially.
Rates Set by the Department:
- Community-Based Day, In-Home Respite Agencies, and Work Activity Programs, (Service Codes 505, 510, 515, 520, 525, 805, 862 and/or 954) may request a rate adjustment from the Department if any employee is paid less than $10.50 per hour1.
- Community Care Facilities – The updated Alternative Residential Model (ARM) rate schedule, effective January 1, 2017, can be found here. Providers with ARM rates do not need to submit rate adjustment requests. All ARM rates have been adjusted by FNRC and will be reflected on the January 2017 billing invoices.
Rates Set by Far Northern Regional Center through Negotiation:
- Rates for a variety of services are set through negotiation between providers and regional centers. Providers with rates set in this manner may negotiate a rate adjustment with the regional center, if they employ 26 or more employees and any employees are paid less than $10.50 per hour. Providers should have received a letter providing information on submitting rate adjustment requests to the Regional Center including contact information and submission instructions. The workbook for rates set by FNRC in negotiation can be found here.
Rates Established in Regulation:
- Non-Mobile Supplemental Staffing – The supplemental rate for Community-Based Day Programs will increase to $1.40 per hour.
1 In-Home Respite Agencies may be eligible for a rate adjustment if they pay respite workers in excess of $10.50 in compliance with the wage enhancement authorized in Welfare and Institutions Code, Section 4690.2(b)(2).
Where can I get more Information?
- For information on Rates Set by the Department, please contact the Department of Developmental Services (DDS) for Non-Residential Rates at (916) 654-2300, or for questions regarding Residential Rates please call (916) 654-2140.
- For information on Rates Set by the Regional Center, please refer to the letter mailed to your Agency dated February 1, 2017 which includes contact information as well as instructions on submitting rate adjustment requests.
when is the deadline for submitting rate adjustment requests?
- All rate adjustment requests must be received by the Department and Far Northern Regional Center no later than March 1, 2017.
Paid Internship Program
The Department of Developmental Services amended the Welfare and Institutions Code (WIC) to add section 4870 to encourage competitive integrated employment (CIE) to individuals with developmental disabilities (clients). CIE is full or part time work for which an individual is paid minimum wage or greater in a setting with others who do not have disabilities. Section WIC 4870 authorizes funding to the Department of Developmental Services for a paid internship program. The purpose of the program is to increase vocational skills and abilities of consumers who choose, via the Individual Program Plan (IPP) process, to participate in an internship. Goals of this program include the acquisition of experience and skills for future paid employment, or the internship itself to lead to full or part time paid employment in the same job. For more information, please read the following: Paid Internship Program.
Service Provider Bonus Incentive!
COMPETITIVE INTEGRATED EMPLOYMENT
CIE is full or part-time work for which an individual is paid minimum wage or greater in a setting with others who do not have disabilities. WIC Section 4870 (d) authorizes funding to the Department of Developmental Services for incentive payments to providers for placement and retention of regional center clients, consistent with a client’s Individual program Plan (IPP) payments. The Regional Center will be responsible for making incentive payments to service providers within their catchment area. For detailed information, please read: Service Provider Bonus Incentive.
FNRC Holidays for Calendar Year 2017
The following holidays will be observed by FNRC during the calendar year of 2017. All offices will be closed on these days.
New Year’s Day – Monday, January 2, 2017
Martin Luther King Jr’s Birthday – Monday, January 16, 2017
President’s Day – Monday, February 20, 2017
Cesar Chavez Day – Friday, March 31, 2017
Memorial Day – Monday, May 29, 2017
Independence Day – Tuesday, July 4, 2017
Labor Day – Monday, September 4, 2017
Columbus Day – Monday, October 9, 2017
Veteran’s Day – Friday, November 10, 2017
Thanksgiving Day and Day After – Thursday & Friday, November 23 & 24, 2017
Christmas Eve Day and Christmas Day – Monday & Tuesday, December 25 & 26, 2017
FNRC Purchase of Service Policy & Guidelines
The Purchase of Service Funding Policy and Purchase of Service Guidelines were approved by the FNCC Board of Directors on 9/24/2010 and by the Department of Developmental Services on 4/11/2011: POS Policy & Guidelines