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DHS Implementing new Rate Floor for Disproportionate Share Customized Living Providers

Earlier this year, the legislature approved a new program to assist Customized Living providers who serve a "disproportionate share" of Elderly Waiver (EW) clients. Any Customized Living provider who serves 80% EW clients as of Oct.1 of this year is eligible for a minimum rate for EW Customized Living clients of $119 per day for the period from July 1, 2022 through Dec. 31, 2022. The program will be ongoing, and the floor will typically apply on an annual basis based on EW percentage on Oct. 1 of each year.

It is important to be aware that disability waiver clients do not count toward the 80% threshold, nor are they eligible for the daily rate floor. In addition, to qualify for this program, the Customized Living provider must hold an assisted living license. Therefore, the sites that are exempt from licensure and serve 80% or more EW clients are not eligible under the language approved by the legislature.

Providers who believe they meet the eligibility requirements for the disproportionate share program need to submit an application form to the Minnesota Department of Human Services by Oct. 31 to be eligible for the rate floor starting next July 1. 

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