The Department of Social And Health Services pays some adult family homes through managed care organizations (MCO). That means the state contracts with a third party who contracts and pays adult family homes directly. Currently there is only one MCO operating long term care services in our state. That program is run by Providence and is known as PACE (Program for All-Inclusive Care for the Elderly).
In late 2013, it came to the attention of the Council that some adult family homes contracted through PACE were not receiving reimbursements in the proper amount. They were receiving rates lower than the rates agreed upon in our collective bargaining agreement. The council filed a grievance on behalf of the affected providers. Despite clear evidence that the state had underpaid these providers who are represented by the Council, the state said they did not have to pay. After more than two year of negotiations and legal actions, we have reached a settlement.
The settlement recognizes that adult family homes paid through an MCO are entitled to all of the rights negotiated in the collective bargaining agreement. The settlement further makes back payments to PACE homes identified as being underpaid. These payments to more than 60 providers range from $250 to more than $4000.
This is an important victory for the Adult Family Home Council as we believe the state will likely grow the number of MCO programs over time. It is important that we protect the rights of providers and ensure that they continue to receive fair pay.
