Provider direct support professionals rate increase and the Family Supports Waiver cap increase

The Bureau of Developmental Disabilities Services is pleased to share important changes to the Family Supports Waiver and Community Integration and Habilitation waiver. These changes reflect significant progress in areas of stakeholder feedback that have been received throughout BDDS’ waiver redesign project associated with the pay of direct support professionals and increase in funds available on the Family Supports Waiver.

As part of its 2021 Budget Bill, the Indiana Legislature included a 14% rate increase for direct support professionals through the efforts of partners such as The Arc of Indiana and INARF. The intent of these funds is to support the overall goal of increasing the statewide average DSP wage to $15 an hour. Therefore, the rate increase requires an authorized service provider to use at least 95% of the amount of the increase in the reimbursement rate to pay payroll tax liabilities and to increase the wages and benefits paid to eligible direct care staff.

BDDS values the critical supports that our direct support professionals provide therefore we are moving to obtain approval to implement the rate increase as soon as possible. If approved by Centers for Medicare and Medicaid Services, the increased rates will be implemented and available in our systems to bill beginning July 19, and retroactively effective to July 1, 2021. The following services are included in the rate increase:

• Adult day services – Level 1, 2 and 3
• Prevocational services
• Respite
• Extended services
• Day habilitation – Individual and Group Small, Medium and Large
• Workplace assistance
• Transportation services – Level 1, 2 and 3
• Participant assistance and care
• Facility based support
• Residential habilitation and support (daily & hourly)

To minimize impact on individuals and families that result from the rate increases, BDDS will also increase the annual cap on the Family Support Waiver annual budgets from $17,300 to $19,614 when these are available in state systems beginning July 19, 2021, to ensure no loss in direct service. BDDS will propose this cap be adopted into the Family Support Waiver in a future waiver amendment to continue to offer this cap increase for individuals on this waiver.

Providers of these services are encouraged to review the requirements for your agency to be able to benefit from these rate increases found by clicking here. Providers will be able to bill their July dates of service to claim the increased rates after the system changes are in place and the FSW cap increase is in place.