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AGING AND DISABILITY SERVICES ADMINISTRATION

July 1, 2002


AASA: AFH # 2002-022
Subject: NEW BED HOLD POLICY AND VENDOR RATE INCREASE


Dear Adult Family Home Provider:

The Legislature in the 2001-2003 Revised Omnibus Operating Budget (2002 Supplemental) notes directed the department to revise the bed hold policy. Further the Legislature directed the department to either obtain federal participation in the cost of the new bed hold policy, or revise the policy so that the average per person cost to the state returns to the pre-2001 level.

To implement this directive, the department consulted with provider representatives and decided in accordance with WAC 388-110-100, to continue the policy of requiring providers to retain a bed or unit for a resident hospitalized or temporarily placed in a nursing home for up to thirty days when the resident is likely to return.

However, the department will no longer directly pay for individual bed hold episodes. Funding formerly used for this purpose, the department will now include in the daily service rate.

Even though the case manager will no longer authorize bed hold payments, you are required to notify the resident’s case manager should the resident be hospitalized or temporarily placed in a nursing home. Federal rule does not allow us to authorize a payment if the client is not in the facility. You must not report service days on your monthly invoice for absent residents that are hospitalized or in a nursing home. Reporting service days for residents that are hospitalized or temporarily placed in a nursing home may result in termination of your contract and/or review for Medicaid fraud. Also, you must continue to comply with the above referenced WAC 388-110-100.

Page Two
Adult Family Home Provider Letter
July 1, 2002


Effective July 1, 2002 Adult Residential Care and Enhanced Adult Residential Care daily service rates include a 1.5% vendor rate increase as authorized by the legislature and funding for holding beds due to expected future temporary absences. The July 1, 2002 daily service rate is adjusted from the June 30, 2002 rate as follows,

King County Level One Level Two Level Three Level Four
June 30, 2002 Daily Rate
43.68
55.42
63.96
76.67
Vendor Rate Increase 1.5%
.66
.83
.96
1.15
Bed Hold Funding
.36
.63
.75
.40
July 1, 2002 Daily Rate
44.70
56.88
65.67
78.22
Metropolitan Counties        
June 30, 2002 Daily Rate
43.68
50.05
57.80
70.52
Vendor Rate Increase 1.5%
.66
.75
.87
1.06
Bed Hold Funding
.36
.63
.75
.40
July 1, 2002 Daily Rate
44.70
51.43
59.42
71.98
Non-Metropolitan Counties        
June 30, 2002 Daily Rate
44.94
47.84
55.40
66.66
Vendor Rate Increase 1.5%
.67
.72
.83
1.00
Bed Hold Funding
.36
.63
.75
.40
July 1, 2002 Daily Rate
45.97
49.19
56.98
68.06

Effective July 1, 2002 Assisted Living daily service rates include a 1.5% vendor rate increase and funding for expected future temporary absences. The July 1, 2002 daily service rate is adjusted from the June 30, 2002 rate as follows,

WITHOUT CAPITAL ADD-ON

King County Level 1 Level 2 Level 3
June 30, 2002 Daily Rate
59.68
66.80
74.50
Vendor Rate Increase 1.5%
.90
1.00
1.12
Bed Hold Funding
.36
.63
.75
July 1, 2002 Daily Rate
60.94
68.43
76.37
Metropolitan Counties      
June 30, 2002 Daily Rate
55.07
61.28
68.04
Vendor Rate Increase 1.5%
.83
.92
1.02
Bed Hold Funding
.36
.63
.75
July 1, 2002 Daily Rate
56.26
62.83
69.81
Non-Metropolitan Counties      
June 30, 2002 Daily Rate
53.59
59.53
65.71
Vendor Rate Increase 1.5%
.80
.89
.99
Bed Hold Funding
.36
.63
.75
July 1, 2002 Daily Rate
54.75
61.05
67.45


WITH CAPITAL ADD-ON

King County Level 1 Level 2 Level 3
June 30, 2002 Daily Rate
64.45
71.57
79.27
Vendor Rate Increase 1.5%
.97
1.07
1.19
Bed Hold Funding
.36
.63
.75
July 1, 2002 Daily Rate
65.78
73.27
81.21
Metropolitan Counties      
June 30, 2002 Daily Rate
59.40
65.61
72.37
Vendor Rate Increase 1.5%
.89
.98
1.08
Bed Hold Funding
.36
.63
.75
July 1, 2002 Daily Rate
60.65
67.22
74.20
Non-Metropolitan Counties      
June 30, 2002 Daily Rate
58.20
64.14
70.32
Vendor Rate Increase 1.5%
.87
.96
1.06
Bed Hold Funding
.36
.63
.75
July 1, 2002 Daily Rate
59.43
65.73
72.13

If you have any questions or need further information, please contact me.


Dick Rosage
Dick Rosage, Manager
Home and Community Rates
P.O. Box 45600
Olympia, WA 98504-45600
360.725.2442
email rosagrl@dshs.wa.gov

cc: Sue Poltl, DDD
Cheryl Timmons, ASD, SSPS
James Reddick, DCFS
Bill Moss, HCS Programs