Wages and reimbursement in CDPA must be stabilized!




Recently, managed long term care plans have dramatically cut reimbursements to fiscal intermediaries. With so much reimbursement going to wages and other costs related to workers, there is no place for FIs to absorb these cuts except in worker wages. These reductions are resulting in a crisis in care, with workers having no choice but to leave consumers who, in many instances, they have worked for for years.

This has created a crisis. People with disabilities and seniors who have been thriving in their homes are facing the loss of independence and a nursing home.

The state must take immediate action to reverse these cuts.

For years, the State has maintained that they cannot get involved in the private negotiations between third parties. But, we have reached the crisis of which CDPAANYS has been warning. These “negotiations” have led to a point where the nominal wages that have been paid cannot be sustained. If allowed to continue unchecked, the system will collapse. People will go to nursing homes. CDPA will cease to exist.

What is worst is that last year, the State gave all managed care companies money to supplement the reimbursements of fiscal intermediaries to pay for the new overtime requirements. It is a joke to think that supplement can accomplish anything if the plans just cut the base by up to TEN TIMES the supplement!

Let that sink in. A plan gave a $0.34 per hour supplement and CUT the base wage over $3.00 per hour.

We must tell the state that this is unacceptable!

To stop this crisis, we are demanding that the State tell plans they have to, at a minimum hold reimbursement equal to what it was on October 1, 2015 when the supplement took effect.

This simple and common sense approach will not address the long term problems that have caused wages to remain too long; but, it will address the immediate crisis and help us get through it so we can fight for higher wages another day.

Please take a minute and send a message to Governor Cuomo demanding that he take this action. The future of CDPA could very well rely on it.

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