ARRM's Daily Dispatch

CMS Denies 7th Year of Rate Banding in MN

ARRM learned late last week that CMS has officially denied Minnesota’s legislative mandated request for a 7^th year of banding within the Disability Waiver Rate System.

With this announcement, banding will officially end at the close of 2019. Individuals who currently have banded rates will see banding come off their rate on a rolling basis through 2020 as their service authorizations are renewed.

Below, please find the official announcement from DHS. If you have any questions, please feel free to contact Sara Grafstrom at sgrafstrom@arrm.org or Ken Bence at Kbence@arrm.org.

With the end of banding confirmed, this raises the importance of completing the "pre-exception" rate exception process for individuals with banded rates (more from the latest Friday's With DHS webinar here) ARRM will send out more information to members outlining additional educational offerings and training throughout the year to continue to prepare members for the end of banding. 

Banding end-date decision by the Centers for Medicare & Medicaid Services

On Jan. 23, 2019, the federal Centers for Medicare & Medicaid Services (CMS) notified DHS it was unable to approve the waiver amendment to add a seventh year of banding in 2020.

Background

Implementation of the Disability Waiver Rate System included a rate-stabilization period, also referred to as “banding,” in which the amount rates could change were tied to historical rates for people and providers who had services in 2013.

The 2017 Minnesota Legislature approved a seventh year of banding (through Dec. 31, 2020) contingent on federal approval from CMS. DHS submitted a waiver amendment to update the rate stabilization (banding) schedule by adding an additional year of banding per the 2017 legislative requirements.

What does this mean?

For DWRS framework services with a start date of Jan. 1, 2020, or later, rates will not be banded to an individual or weighed average historic rate. All rates will be at the Rate Management System framework rate for the service. This change will occur on a rolling basis as service authorizations either renew or change.

How does this affect lead agencies and providers?

DHS will include the changes in the Rate Management System within the MnCHOICES Support Plan application. Also, as previously communicated by DHS, lead agencies, service providers, service recipients and DHS will begin to identify people with banded service rates who may receive rate exceptions. See guidance and additional information at https://mn.gov/dhs/partners-and-providers/news-initiatives-reports-workgroups/long-term-services-and-supports/disability-waiver-rates-system/

ARRM Staff Check-In

With the month of January coming to an end, the ARRM staff wanted to say hello and share some updates with you!

L-R: Drew Henry, Ken Bence, Madeleine Lerner, Sara Grafstrom, Sue Schettle, Ashley Wear

Sue Schettle, CEO
Update: Sue has been working with the staff to ensure that we achieve our legislative goals.
Goal for February: She wants to make sure we are doing our best to advance our priorities this legislative session.
Childhood Dream Job: Architect – “Mike Brady, the dad from the Brady Bunch, had the coolest job and I thought it would be an awesome profession.”
Contact Sue: sschettle@arrm.org

Sara Grafstrom, Director of State and Federal Policy
Update: Sara has been focusing on all things legislative! She has been tracking introduced legislation, meeting with elected officials, and promoting member engagement in the legislative process.
Goal for February: She wants to have all of ARRM sponsored legislation introduced with hearings to follow.
Childhood Dream Job: Teacher – “My Dad was a teacher and I wanted to be just like him.”
Contact Sara: sgrafstrom@arrm.org

Drew Henry, Director of Strategic Communications
Update: Drew has been developing media coverage opportunities for our key issues, namely the need to pass legislation to close the wage gap between DSPs and other comparable jobs.
Goal for February: He wants to work with media outlets focused on disability issues and local editorial boards to get coverage. He is looking forward to working with members to support those opportunities.
Childhood Dream Job: “I wanted to be a professional baseball player because who doesn’t?”
Contact Drew: dhenry@arrm.org

Ken Bence, Director of Research, Analysis and Policy
Update: Ken has been leading ARRM’s first annual committee roster refresh project! Members who serve on a committee can customize their involvement and all members have the opportunity to sit on a committee of their choosing. This fits ARRM’s objective to develop leaders for the future.
Goal for February: He wants to finalize committee rosters for next year.
Childhood Dream Job: Astronaut – “I was in second grade when the first moon landing occurred. I really liked the shiny silver outfits of the first space flights and the bulky white ones for walking on the moon. And the rockets were awesome!”
Contact Ken: kbence@arrm.org

Ashley Wear, Manager of Member Events and Promotions
Update: Ashley has been working on an Exhibitor Success Program for ARRM supporters/members to help them get the most out of their work with us (Be on the lookout for more VERY soon)!
Goal for February: She wants to add additional workshops/webinars to our education and training schedule for 2019.
Childhood Dream Job: Art/English Teacher – “I always had a passion for creating and writing. Now I do that in my free time and use the planning aspect of teaching for member event and educational programs.”
Contact Ashley: awear@arrm.org

Madeleine Lerner, Grassroots Organizer
Update: Madeleine has been facilitating site visits for legislators and boosting ARRM’s social media presence.
Goal for February: She wants to have each freshmen Representative attend at least one site visit this month.
Childhood Dream Job: Dentist – “Every time I went to the dentist as a kid, I would get to take home a toy. Who knew that cleaning teeth could be so fun?”
Contact Madeleine: mlerner@arrm.org

Connect With Your Officials! - Rep. Morrison Visits Hammer

Last week, State Representative Kelly Morrison of District 33B paid a visit to Hammer’s Holdridge home in Wayzata. On this visit, Rep. Morrison was able to meet with individuals who reside at Holdridge, some of which have family and support staff who live in her district.

This year marks Morrison’s first term as a Minnesota Representative. However, Rep. Morrison’s background as a physician makes her familiar with community-based disability services. She is also knowledgeable about Medicaid and service payments. When she was in high school, Rep. Morrison even volunteered for Hammer!

State Representative Kelly Morrison with Hammer Board Member, Kevan, and his son, Travis, a Holdridge resident.

In a conversation with Hammer’s CEO John Estrem, Rep. Morrison stated her awareness of the 7 percent cut to disability waiver rates and expressed that there should be a priority to fix it. She also asked what things legislators could do to save money without compromising the quality of care. She displayed an understanding of the cost of 24/7 care and posed additional questions with regard to staffing. It is evident that Rep. Morrison cares about the disability service community.

Arrange Your Own Site Visits

Providing tours of facilities for new legislators is a great way to introduce them to the direct support professionals’ workforce and home and community-based services as a whole. Your staff members deserve attention and so do your residents! The opportunity to interact with all Senators and Representatives is a great way for you to highlight your services and discuss issues that concern your communities.

 

Are you interested in organizing a site visit for a legislator? For assistance, contact Madeleine Lerner, ARRM’s Grassroots Organizer, at mlerner@arrm.org.

Tax Tips: 2018 Renter's Credit

Below is information for you to hopefully make it easier to navigate your way through the 2018 CRP tax requirements.  If you need help filling out a Certificate of Rent Paid (CRP) or a Property Tax Refund Return (Form M1PR), call the Minnesota Department of Revenue general assistance number at 651-296-3781 or 1-800-652-9094.

As you know, renters need a completed CRP in order to apply for the property tax refund. As a property owner, manager or operator, you are required to issue a CRP to each person who rented from you during the year. You must give each renter a CRP by January 31 of each year—as long as property taxes (or payments in lieu of property taxes) are made on the property.

Waiver Programs: Adult Foster Care

How do I complete CRPs for residents?

For each qualifying resident, follow the instructions below when calculating lines 1 and 3 on the CRP:

1. Check the appropriate box on the CRP to indicate “Adult Foster Care.”
2. On line B (above line 1), enter the amount of GRH payments you received on behalf of the resident.
3. Multiply the number of months, or fraction of months, the resident lived in the facility by $780 (the assumed monthly rent for 2018, adjusted each year). Enter the result on line 1.
4. Multiply the amount from line 1 by 0.17 (the percentage of rent considered to be property tax). Enter the result on line 3.
5. Sign and date the CRP and include your phone number.

Click here for additional information.

Assisted Living Facilities

How do I complete CRPs for assisted living facility residents?

1. You should not include payments for non-rental services, such as meals or medical care, when completing CRPs for qualifying residents. Follow the instructions below when calculating lines 1 and 3 on the CRP:
2. Check the appropriate box on the CRP to indicate “Assisted Living” or “Intermediate Care Facility,” whichever applies.
3. Determine the total property tax paid on the facility.
4. Divide that amount by the number of rental units:
   3. If the resident lived in your facility for the full year, enter the result on line 3.
   4. If the resident lived in your facility for part of the year, multiply the result by the percentage of the year the resident occupied the unit. Enter this prorated amount on line 3.
5. Divide the line 3 amount by 0.17 (the percentage of rent considered to be property tax). Enter the result on line 1.
   1. The amount on line 1 must not exceed the total amount actually paid by the resident during the year.
6. Sign and date the CRP and include your phone number.

Click here for additional information.

Intermediate Care Facilities

How do I complete CRPs for ICF/DD residents?

For each qualifying resident, follow the instructions below when calculating lines 1 and 3 on the CRP:

1. Check the appropriate box on the CRP to indicate “Intermediate Care Facility.”
2. On line A (above line 1), enter the amount of GAMC or Medicaid you received on behalf of the resident. To calculate this, multiply the daily (“per diem”) rate by the number of days billed during the year, then subtract the annual MA spend-down amount.
3. On line B, enter the amount of Group Resident Housing (GRH) payments you received on behalf of the resident.
4. Multiply the number of months, or fraction of months, the resident lived in the facility by $500 (the assumed monthly rent for 2018, adjusted each year). Enter the result on line 1.
5. Multiply the amount from line 1 by 0.17 (the percentage of rent considered to be property tax). Enter the result on line 3.
6. Sign and date the form and include your phone number.

Click here for more information.

Download the CRP form here.

Click here for overall 2018 landlord instructions.

If you have questions, feel free to contact Sue Schettle at sschettle@arrm.org or 651-291-1086 ext. 1.

--Sue Schettle, CEO

Weekly Legislative Re-Cap: Best Life Alliance Receives first Hearing

The first full week of the 2019 Legislative Session has come to a close and already we are seeing quite a bit of activity on issues important to ARRM and its membership. Here’s your weekly re-cap:

Best Life Alliance Legislation: (SF 6/HF 179)

The Best Life Alliance bill has been introduced in both the Senate and the House. The bill received its first hearing this past Wednesday in the Senate Human Services Reform and Finance Committee. ARRM Board member Cindy Ostrowski from Hiawatha Homes offered testimony to the importance of ending the 7% cut.

In addition to the Best Life Alliance legislation, alternative legislation has been introduced in both the House and Senate. SF 92/HF 168 would set the Competitive Workforce Factor at 4.55% which would buy back about 3.8% of the 7% cut. SF 92 was also heard in the Senate Human Services Reform and Finance Committee this past Wednesday.

It is important to remember that while there are alternative proposals being introduced, the Best Life Alliance, as well as ARRM is committed to advocating for the full buy back of the 7% cut. Please watch for future action alerts for guidance on how you can lend your voice to the efforts!

ARRM Policy Bill: (SF 174/HF XXX)

We are once again bringing forward a policy bill that contains similar provision to the bill that was contained within the Supplemental Spending bill last year and was vetoed by Governor Dayton. The bill was introduced in the Senate this last week and will hopefully be introduced in the House next week.

In addition to our stand-alone bill, Senator Abeler has introduced SF 74, which is a “mini omnibus” bill of policy provisions from last session that had agreement on. All of the policy provisions that ARRM brought forward last session are also contained within SF 74- ARRM will continue to monitor the progress of that bill.

ICF Legislation and Unfunded Mandate Legislation:

We are in the process of gathering authors for these two pieces of legislation and hope to have them introduced within the next couple weeks.

Service Termination Legislation:

ARRM has a small group of members that are working on service termination legislation. The legislation would tighten the timelines for judicial review when a service termination is appealed and clean-up language within the current service termination statute. We are still in the process of meeting with stakeholders about this legislation and addressing concerns with the language that are being brought to us. We hope to move this language forward to the drafting process within the next few weeks.

Other happenings at the Capitol and what to look for next week:

Many hearings this last week focused on providing broad overviews and information to committee members on committee jurisdiction and topics of interest to the committee. We anticipate that next week will continue to focus on informational hearings and will keep members updated if anything comes up that we need action on!