TITLE 40.SOCIAL SERVICES AND ASSISTANCE

Part 1. TEXAS DEPARTMENT OF HUMAN SERVICES

Chapter 50. §1915(C) CONSOLIDATED WAIVER PROGRAM

40 TAC §§50.1, 50.2, 50.4, 50.6, 50.8, 50.10, 50.12, 50.14, 50.16, 50.18, 50.20, 50.22, 50.24, 50.26, 50.28, 50.30, 50.32, 50.34, 50.36, 50.38, 50.40, 50.42, 50.44, 50.46, 50.48

The Texas Department of Human Services (DHS) proposes new §§50.1, 50.2, 50.4, 50.6, 50.8, 50.10, 50.12, 50.14, 50.16, 50.18, 50.20, 50.22, 50.24, 50.26, 50.28, 50.30, 50.32, 50.34, 50.36, 50.38, 50.40, 50.42, 50.44, 50.46, and 50.48, concerning the §1915(c) Consolidated Waiver Program, in its new Chapter 50. Section 1915(c) is a part of the Social Security Act.

The purpose of the new sections is to establish the rule base for the Consolidated Waiver Program (CWP), a §1915(c) waiver pilot program that will provide home and community-based services to individuals who meet the criteria for institutional care. The pilot was authorized by Texas Government Code, §531.0219, for the purpose of testing the feasibility of combining five of the state's §1915(c) Medicaid waiver programs, including Community Based Alternatives (CBA), Community Living Assistance and Support Services (CLASS), Deaf Blind Multiple Disabilities (DBMD), Medically Dependent Children Program (MDCP), and Home and Community Based Services (HCS). The pilot will be located in Bexar County, an area where CBA, CLASS, DBMD, HCS, and MDCP are currently operating. These rules will not repeal or replace any existing §1915(c) waiver rules statewide or in the pilot area for individuals not participating in the pilot.

Eric M. Bost, commissioner, has determined that for the first five- year period the proposed sections will be in effect there will be fiscal implications for state government as a result of enforcing or administering the sections. The effect on state government for the first five-year period the sections will be in effect is an estimated additional cost of $687,984 in fiscal year (FY) 2001; $2,136,921 in FY 2002; $2,243,766 in FY 2003; $2,243,766 in FY 2004; and $2,243,766 in FY 2005. There will be no fiscal implications for local government as a result of enforcing or administering the sections.

Mr. Bost also has determined that for each year of the first five years the sections are in effect the public benefit anticipated as a result of adoption of the proposed rules is the opportunity to test the feasibility of consolidating and streamlining five §1915(c) waivers, usually administered by three state agencies, each serving different populations, with different rates and separate providers. Participants will be selected from interest lists from existing waivers in the pilot area, with priority given to children in nursing facilities. The CWP will serve a diverse population in one waiver with one set of rates, one set of providers, and a broad array of services. It will allow waiver participants a single point of entry to the Medicaid waivers, with one administrative agency and lower administrative costs. It will incorporate permanency planning for children and aging in place for adults to delay or prevent institutionalization. The pilot will operate for three years, reporting results of the pilot to the legislature after two years of operation. There could be a minimal economic effect on large, small, or microbusinesses as the result of enforcing or administering the sections, as there may be some cost to providers who choose to enroll in the Consolidated Waiver Program associated with training staff to serve a broader population than that which they normally serve. Providers may also have costs associated with the provision of services they do not normally provide. However, the impact should not be significant because this is a pilot serving only 200 individuals in a single county, and these are administrative costs that are considered in setting reimbursement rates for the program. There is no anticipated economic cost to persons who are required to comply with the proposed sections.

Questions about the content of this proposal may be directed to Cindy Eilertson at (512) 438-3443 in DHS's Long Term Care Section. Written comments on the proposal may be submitted to Supervisor, Rules and Handbooks Unit-070, Texas Department of Human Services E-205, P.O. Box 149030, Austin, Texas 78714-9030, within 30 days of publication in the Texas Register .

Under §2007.003(b) of the Texas Government Code, the department has determined that Chapter 2007 of the Government Code does not apply to these rules. Accordingly, the department is not required to complete a takings impact assessment regarding these rules.

The new sections are proposed under the Human Resources Code, Title 2, Chapters 22 and 32, which authorize the department to administer public and medical assistance programs; and under Texas Government Code §531.021, which provides the Health and Human Services Commission with the authority to administer federal medical assistance funds.

The new sections implement the Human Resources Code, §§22.001- 22.030 and §§32.001-32.042.

§50.1.Introduction.

The §1915(c) Consolidated Waiver Program is a pilot program authorized by Texas Government Code §531.0219 for the purpose of testing the feasibility of combining five of the state's §1915(c) Medicaid waiver programs, including Community Based Alternatives (CBA), Community Living Assistance and Support Services (CLASS), Medically Dependent Children Program (MDCP), Home and Community Based Services (HCS), and Deaf Blind Multiple Disabilities (DBMD). Section 1915(c) Medicaid waiver programs, including the Consolidated Waiver Program, provide home and community-based services to individuals who meet the criteria for institutional care. The pilot program is limited to serving 200 individuals in Bexar County or other areas as designated by the Texas Board of Human Services. Results of this pilot will be reported to the Texas Legislature in January 2004. These rules are not intended to repeal or replace any existing §1915(c) waiver rules statewide or in the pilot area for individuals not participating in the pilot.

§50.2.Definitions.

The following words and terms, when used in this chapter, have the following meanings, unless the context clearly indicates otherwise:

(1)

Adult--For the purposes of this waiver, an individual, applicant, or participant who is 21 years of age and older unless indicated otherwise.

(2)

Advance notice--A statement of the adverse action the state intends to take, provided in writing to the individual or the individual's authorized representative advising them of the right to a hearing, the method by which a hearing may be obtained, and that the individual may represent himself or use legal counsel, a relative, a friend, or other spokesperson. A participant is entitled to be notified 10 days before any reduction or termination of his services and to have the notification mailed 12 days before the date of reduction or termination.

(3)

Applicant--An individual whose eligibility for waiver services in the Consolidated Waiver Program (CWP) is in the process of being determined. An individual becomes an applicant when he is next in line to fill a slot in the waiver program, a slot exists, DHS has approved the filling of the slot, DHS has notified the individual, and the individual has submitted the required application materials to DHS within a specified time frame.

(4)

Case Management--Administrative case management provided by DHS as a function of the human services specialist, also referred to as case manager, to CWP participants.

(5)

Child--For the purposes of this waiver, an individual, applicant, or participant who is under the age of 21, unless indicated otherwise.

(6)

Individual Service Plan (ISP)--Plan of care agreed to by the Interdisciplinary Team (IDT) as being necessary to prevent institutionalization.

(7)

Interdisciplinary Team (IDT)--At minimum, a group consisting of the participant (applicant) and his parent or guardian, if appropriate; DHS case manager; and home and community support services agency (HCSSA) representative. Other professionals may be included as appropriate, as well as anyone the participant or applicant chooses to invite to participate.

(8)

Legal confinement--The result of an individual having been remanded by a judge to a particular setting other than their normal living arrangement for a specified period of time or to achieve a desired outcome. Some examples of settings for legal confinement include, but are not limited to, jails, prisons, hospitals, or institutions for mental disease, or rehabilitation facilities.

(9)

Participant--An individual who has been determined eligible to receive waiver services, has enrolled in the Consolidated Waiver Program, and receives waiver services according to an ISP.

(10)

Respite--A service that provides temporary relief from caregiving to the primary caregiver of a waiver participant during times when the participant's primary caregiver would normally provide uncompensated care.

(11)

Suspension of services--A temporary cessation of certain specified waiver services without loss of program or Medicaid eligibility.

(12)

Waiver program--A Medicaid program that provides home and community-based services as an alternative to institutional care in accordance with waiver provisions of the Social Security Act, §1915(c) (42 United States Code §1396n).

§50.4.Participant Eligibility Criteria.

(a)

To be determined eligible by the Texas Department of Human Services (DHS) for Consolidated Waiver Program (CWP) services, an applicant or participant must:

(1)

live in the pilot area;

(2)

meet the financial eligibility criteria as defined in §50.6 of this title (relating to Financial Eligibility Criteria);

(3)

not participate in other §1915(c) Medicaid waiver programs;

(4)

have an individual service plan for home and community-based services developed by the interdisciplinary team (IDT). The individual service plan (ISP) for home and community-based services must specify the type of waiver services required to keep an individual in the community, the units of waiver services, and their frequency and duration as defined in §50.16 of this title (relating to Individual Service Plan);

(5)

have an ISP for home and community-based services with an estimated annual cost that does not exceed:

(A)

125% of the average aggregate cost of intermediate care facilities for individuals with mental retardation (ICF-MR) Level I and VIII for individuals who meet the ICF-MR level of care in accordance with §50.8(a)(2) of this title (relating to Individual Level-of-Care Criteria); or

(B)

150% of the individual's actual Texas Index for Level of Effort (TILE) payment rate for individuals with a nursing facility level-of- care in accordance with §50.8(a)(1) of this title (relating to Individual Level-of-Care Criteria);

(6)

meet the level-of-care criteria as described in §50.8 of this title (relating to Individual Level-of-Care Criteria);

(7)

have ongoing needs for waiver services whose projected costs, as indicated on the ISP, do not exceed the maximum service ceilings that follow:

(A)

adaptive aids and medical supplies service category cannot exceed $10,000 per ISP plan year with DHS maintaining the right to exception;

(B)

minor home modifications service category cannot exceed $7500 per individual per 7 years until age 21; then the minor home modifications service category cannot exceed $7500 (lifetime maximum) with a maximum of $300 for repairs per ISP year thereafter;

(C)

respite care cannot exceed 45 days per individual per ISP year with DHS maintaining the right to exception; and

(D)

dental care cannot exceed $1000 per ISP year;

(8)

receive waiver services within 30 days after waiver eligibility is determined;

(9)

meet the re-evaluation of institutional level-of-care criteria as performed annually by DHS using the same criteria as used initially;

(10)

reside in his own home, in a licensed assisted living facility, in an adult foster care home, 24-hour residential habilitation or family surrogate services setting contracted with DHS to provide CWP services, or in a foster home that meets the requirements for foster homes in accordance with 40 TAC §700.1501 (concerning Foster and Adoptive Home Development). CWP services will not be delivered to residents of hospitals, nursing facilities, ICF-MR facilities, or unlicensed assisted living facilities unless the facility is exempt in accordance with §50.30 of this title (relating to 24-Hour Residential Habilitation) as pertains to provider requirements for 24- hour residential habilitation; and

(11)

choose waiver services as an alternative to institutional care.

(b)

A preadmission level of care assessment by DHS expires 120 calendar days from its issuance. For participants who are enrolled in the waiver program within 30 calendar days of discharge from an institution, the current level-of-care assessment may be used for enrollment and is valid until the expiration date on the approved ISP;

(c)

Enrollment into this waiver program is limited to the number of participants approved by the Health Care Financing Administration (HCFA) and funded by the State of Texas.

(d)

Enrollment in the pilot is restricted to 200 participants with the following slot allocation:

(1)

50 slots for adults who meet the requirements for nursing facility care from the Community Based Alternatives (CBA) interest list;

(2)

50 slots for children who meet the requirements for nursing facility care from the Medically Dependent Children Program (MDCP) interest list;

(3)

25 slots for adults with mental retardation who meet the requirements for ICF-MR care level I from the Home and Community Based Services (HCS) interest list;

(4)

25 slots for children with mental retardation who meet the requirements for ICF-MR care level I from the HCS interest list;

(5)

25 slots for adults with related conditions or developmental disabilities who meet the requirements for ICF-MR care level VIII from the CLASS interest list, with one of these slots specifically targeted to an individual who is deaf-blind with multiple disabilities from the Deaf Blind Multiple Disabilities (DBMD) interest list; and

(6)

25 slots for children with related conditions or developmental disabilities who meet the requirements for ICF-MR care level VIII from the CLASS interest list, with one of these slots specifically targeted to an individual who is deaf-blind with multiple disabilities from the DBMD interest list.

§50.6.Financial Eligibility Criteria.

An applicant or participant is financially eligible for the Consolidated Waiver Program (CWP) if he:

(1)

is eligible for supplemental security income (SSI) benefits; or

(2)

has been eligible for and received SSI benefits and continues to be eligible for Medicaid as a result of protective coverage mandated by federal law; or

(3)

is under age 18 and resides with their parent, spouse, foster family, or other relative, and:

(A)

is eligible for Medicaid benefits only if institutionalized;

(B)

meets the SSI criteria for disability, as documented on the appropriate Texas Department of Human Services (DHS) forms;

(C)

meets the SSI criteria for institutional deeming; and

(D)

has income and resources that meet the requirements of the SSI Program; or

(4)

is financially eligible for SSI benefits in the community except for income and meets the special institutional income limit for Medicaid benefits in Texas without regard to spousal income; or

(5)

is under age 19 and financially the responsibility of the Texas Department of Protective and Regulatory Services (TDPRS), in whole or in part (not to exceed Level II foster care payment), and is being cared for in a family foster home licensed or certified and supervised by:

(A)

TDPRS; or

(B)

a licensed public or private nonprofit child-placing agency; or

(6)

is a member of a family who receives full Medicaid benefits as a result of qualifying for Temporary Aid to Needy Families (TANF).

§50.8.Individual Level of Care Criteria.

(a)

An applicant or participant must meet one of the following level- of-care (LOC) requirements for the Consolidated Waiver Program (CWP):

(1)

the level-of-care criteria for medical necessity for nursing facility care in accordance with §19.2409 of this title (relating to General Qualifications for At-Risk Assessments and Medical Necessity Determinations) and §19.2410 of this title (relating to Criteria Specific to a Medical Necessity Determination); or

(2)

the level-of-care criteria for an intermediate care facility for the mentally retarded (ICF-MR) as determined by the Texas Department of Human Services (DHS) indicating that an individual has had a determination of mental retardation performed in accordance with Texas Health and Safety Code, Chapter 593, Admission and Commitment to Mental Retardation Services, Subchapter A; or has been diagnosed by a licensed physician as having a related condition as defined in 25 TAC §406.202 (concerning Definitions) as the rule was effective June 1, 2001, and as verified by a current level-of-care assessment that indicates one of the following is required:

(A)

intermediate care facility for the mentally retarded with related conditions (ICF-MR/RC level VIII); or

(B)

intermediate care facility for the mentally retarded (ICF-MR level I).

(b)

Additional criteria related to level-of-care must be met as outlined in §50.10 of this title (relating to Additional Eligibility Criteria Related to Level of Care).

§50.10.Additional Eligibility Criteria Related to Level of Care.

(a)

Individuals who meet the level-of-care criteria for medical necessity for nursing facility care in accordance with §50.8(a)(1) of this title (relating to Individual Level of Care Criteria) must also meet the following requirements:

(1)

meet two or more of the criteria for nursing home risk, as specified in the Resident Assessment Instrument Home Care Assessment for Nursing Home Risk as revised in April 1996 in accordance with §48.6003(10)(A-G) of this title (relating to Client Eligibility Criteria Nursing Home Risk), except for the following individuals who are exempt from meeting the nursing home risk criteria if:

(A)

transferring to the Consolidated Waiver Program (CWP) from a nursing facility or

(B)

applying for or receiving §1915(c) waiver services before their 21st birthday; and

(2)

if under 21 years of age:

(A)

the participant must access services through the Comprehensive Care Program; and

(B)

yearly Consolidated Waiver Program services are limited to 50% of the cost ceiling in §50.4(a)(5)(B) of this title (relating to Participant Eligibility Criteria).

(b)

Individuals who meet the level-of-care criteria for an intermediate care facility for the mentally retarded with related conditions (ICF-MR/RC Level VIII) in accordance with §50.8(a)(2)(A) of this title (relating to Individual Level of Care Criteria) and who wish to fill slots in the program designated for people who are deaf- blind with multiple disabilities must provide medical documentation that verifies the existence of deaf blindness with multiple disabilities.

§50.12.Spousal Impoverishment Provisions.

(a)

For waiver participants with spouses who live in the community, the income and resource eligibility requirements are determined according to the spousal impoverishment provisions in the Social Security Act, §1924, and as specified in the Medicaid state plan and in §50.6 of this title (relating to Financial Eligibility Criteria).

(b)

After the participant is determined to be eligible for Medicaid, a determination is made by the Texas Department of Human Services (DHS) regarding the amount of the recipient's income applicable to payment.

§50.14.Calculation of Participant Copayment.

(a)

Participants who are determined to be financially eligible based on the special institutional income limit are required to share in the cost of waiver services. The method for determining the participant's copayment is described in subsection (b) of this section and documented on the Texas Department of Human Services (DHS) copayment worksheet for §1915(c) waiver programs. When calculating the copayment amount for participants with incomes that exceed the supplemental security income (SSI) federal benefit rate (FBR), DHS staff deduct the following:

(1)

the cost of the participant's maintenance needs that must be equivalent to:

(A)

the special institutional income limit for waiver recipients residing in their own homes; or

(B)

the SSI FBR per month for individuals residing in foster homes, assisted living facilities, 24-hour residential habilitation, or family surrogate services settings;

(2)

the special couple institutional income limit for waiver recipients for couples residing in adult foster care, assisted living facility, 24-hour residential habilitation, or family surrogate services settings that is equivalent to the FBR for an individual living in other community living arrangements for each member of the couple;

(3)

the cost of the maintenance needs of the participant's spouse. This amount is equivalent to the amount of the SSI FBR, less the spouse's own income;

(4)

the cost of the maintenance needs of the client's dependent children. This amount is equivalent to the Temporary Assistance to Needy Families (TANF) basic monthly grant for children or a spouse with children, using the recognizable needs amounts in the TANF budgetary allowances chart; and

(5)

the costs incurred for medical or remedial care that are necessary but are not subject to payment by Medicare, Medicaid, or any other third party. These include the cost of health insurance premiums, deductibles, and coinsurance.

(b)

The copayment amount is the participant's remaining income after all allowable expenses have been deducted. The copayment amount is applied only to the cost of home and community-based services that are funded through this waiver program and specified on the participant's individual service plan. The copayment must not exceed the cost of services actually delivered.

(c)

Participants must pay the cost-sharing amount directly to the providers contracted to deliver authorized waiver services.

§50.16.Individual Service Plan (ISP).

(a)

Waiver participants must have an individual service plan (ISP) for waiver services developed by the interdisciplinary team (IDT) as described in the waiver request.

(b)

The IDT members must sign and date the ISP prior to implementation of the plan. The IDT members must certify in writing that the waiver services are necessary as an alternative to institutionalization and appropriate to meet the needs of the individual in the community.

(c)

The Texas Department of Human Services (DHS) must approve and the IDT must update the ISP at least annually.

§50.18.Right to Appeal.

(a)

Any applicant or participant who is denied waiver program services is entitled to a fair hearing conducted by the Texas Department of Human Services (DHS), according to the Health and Human Service Commission's Uniform Fair Hearing Rules in Title I, Chapter 357 of this code.

(b)

A participant whose waiver services are reduced or denied must be given advance notice as defined in §50.2 of this title (relating to Definitions) and is entitled to a fair hearing as indicated in subsection (a) of this section.

§50.20.Provider Claims Payment.

(a)

The agency providing Consolidated Waiver Program (CWP) services is reimbursed based on a fee-for-service reimbursement methodology. Units of service that have been provided must be documented and must be authorized on and delivered according to the individual service plan.

(b)

Room and board are not included in the reimbursement rate to providers except in the case of respite care services. Respite care services must not exceed 45 calendar days per year per client.

(c)

The agency providing CWP services is not entitled to payment if the Texas Department of Human Services (DHS) has not authorized client enrollment.

§50.22.Service Array for Home and Community Support Services Providers.

Home and community support services agencies (HCSSAs) must provide the following array of home and community support services in accordance with the individual service plan (ISP) through their own employees, subcontractors, or personal service agreements with qualified individuals:

(1)

personal assistance services;

(2)

in-home respite care;

(3)

habilitation;

(4)

adaptive aids;

(5)

medical supplies;

(6)

minor home modifications;

(7)

transportation;

(8)

nursing;

(9)

physical therapy;

(10)

occupational therapy;

(11)

speech and language pathology;

(12)

psychological services;

(13)

social work;

(14)

audiology services;

(15)

behavioral communication services;

(16)

orientation and mobility specialist services;

(17)

dietary services;

(18)

dental services;

(19)

child support services;

(20)

intervenor services; and

(21)

24-hour residential habilitation. Additional requirements for 24- hour residential habilitation providers are listed in §50.30 of this title (relating to 24-Hour Residential Habilitation).

§50.24.General Contracting.

(a)

Home and community support services agencies (HCSSAs). To be qualified as a HCSSA provider to deliver Consolidated Waiver Program (CWP) services under contract with the Texas Department of Human Services (DHS), a HCSSA must:

(1)

have a separate contract with DHS to provide CWP services in the designated service area in which services are to be delivered;

(2)

deliver CWP services through the licensed home health category of HCSSA licensure;

(3)

have the county in the DHS contract for CWP services included in the identified service area on file at DHS with the licensed home health category of licensure;

(4)

be authorized by the secretary of state to do business in the State of Texas, if an out-of-state corporation; and

(5)

meet all requirements outlined in §48.6028 of this title (relating to Provisional Contracts - Home and Community Support Service Agencies). The reference to Community Based Alternatives (CBA) contract in §48.6028(k)(2) and (3) means Consolidated Waiver Program (CWP) contract for home and community support service agency providers that are contracted to deliver CWP services.

(b)

Emergency Response Services (ERS). To contract with DHS to provide ERS under the CWP, a legal entity must:

(1)

have a 24-hour, seven-day-a-week emergency response monitoring capability;

(2)

be a public agency or a private not-for-profit or for-profit corporation that is either chartered with or authorized by the secretary of state to transact business within the State of Texas;

(3)

be licensed by the Texas Commission on Private Security, unless exempt from its regulation. The provider agency must send a copy of its license and a copy of the annual renewal of its license to DHS; and

(4)

have a separate contract with DHS to provide CWP services in the designated service area in which services are to be delivered.

(c)

Adult Foster Care (AFC). To contract with DHS to provide AFC services under the CWP, the provider must:

(1)

be enrolled by DHS as a CWP adult foster care provider;

(2)

be serving four or fewer participants;

(3)

if serving four participants, be licensed by DHS as a Type C Assisted Living Facility as defined in §92.4(3) of this title (relating to Types of Assisted Living Facilities) of the DHS Licensing Standards for Assisted Living Facilities;

(4)

agree to comply with all Adult Foster Care standards found in the Community Based Alternatives (CBA) Provider Manual, Section 4200, Adult Foster Care; and

(5)

have a separate contract with DHS to provide CWP services in the designated service area in which services are to be delivered.

(d)

Assisted Living/Residential Care (AL/RC). To contract with DHS to provide assisted living/residential care services under the CWP, the facility must be licensed as an assisted living facility by DHS, type "A" or "B" as defined in Chapter 92 of this title (relating to Licensing Standards for Assisted Living Facilities); and have a separate contract with DHS to provide CWP services in the designated service area in which services are to be delivered.

(e)

Home-delivered Meals (HDM). To contract with DHS to provide home delivered meals under the CWP, the provider must:

(1)

meet state, local health, and DHS requirements in the handling, transporting, serving and delivery of these meals;

(2)

ensure that menus for standard diets are developed using Dietary Guidelines for Americans and are reviewed and approved by a registered dietitian;

(3)

ensure that menus for therapeutic and modified diets are written by and prepared under the supervision of a registered dietitian;

(4)

ensure that established procedures are in place to assure that each participant who requires a therapeutic and modified meal receives only the meal ordered for that individual; and

(5)

have a separate contract with DHS to provide CWP services in the designated service area in which services are to be delivered.

(f)

Out-of-home respite. To contract with DHS to provide out-of-home respite services under the CWP, providers must have a separate contract with DHS to provide CWP services in the designated service area in which services are to be delivered and be one of the following:

(1)

a licensed Intermediate Care Facility for Individuals with Mental Retardation (ICF-MR);

(2)

a licensed hospital;

(3)

a licensed nursing facility;

(4)

one of the American Camping Association's accredited camps;

(5)

a child care center that meets state requirements for respite;

(6)

an assisted living facility in accordance with §50.24(d) of this title (relating to General Contracting); or

(7)

an adult foster care facility meeting the requirements in §50.24(c) of this title (relating to General Contracting).

(g)

Family surrogate services. To contract with DHS to provide family surrogate services (available only to CWP participants younger than 18 years of age), providers must meet all the requirements of the Texas Department of Protective and Regulatory Services (TDPRS) minimum standards for Independent Foster Family Homes pursuant to 40 TAC §720.231-720.248 (concerning Standards for Foster Family Homes). Additional provider requirements are outlined in §50.26 of this title (relating to Care Options in Family Surrogate Services).

(h)

Independent advocacy. To contract with DHS to provide Independent Advocacy services, the provider:

(1)

must be 21 years of age or older;

(2)

must be chosen and recommended for contract enrollment by the participant;

(3)

must be capable of performing advocacy functions as described in the waiver service description, which are specific to the participant's needs;

(4)

cannot be providing any other CWP services to the participant; and

(5)

cannot be the participant's parent, spouse, or first-degree relative.

(i)

In addition to the requirements in subsections (a)-(h) of this section, all providers contracted to deliver CWP services must adhere to the rules found in Chapter 49 of this title (relating to Contracting for Community Care Services).

§50.26.Care Options in Family Surrogate Services.

(a)

In addition to the requirements outlined in §50.24 of this title (relating to General Contracting), Family Surrogate Services providers must provide services:

(1)

to no more than three children receiving similar services in the same residence at any one time;

(2)

in a home in which the Family Surrogate Services provider has legal responsibility for the residence;

(3)

in a home that is a typical residence within the community; and

(4)

in a residence, neighborhood and community that meets the needs and choices of each individual and provides an environment that assures the health, safety, comfort and welfare of the individual.

(b)

For any child who is a Consolidated Waiver Program (CWP) participant and is placed in a Family Surrogate Services setting, the Family Surrogate Services provider, along with the Interdisciplinary Team (IDT):

(1)

justifies the reasons for serving a minor individual outside the natural or adoptive family home;

(2)

makes every possible effort to return a minor individual being served outside his or her natural or adoptive family home to his or her family home as soon as possible; and

(3)

documents permanency planning and appropriate habilitation goals in the Individual Service Plan (ISP);

(c)

The Family Surrogate Services provider must provide care to the CWP participant as appropriate and authorized on the ISP, including:

(1)

direct personal assistance with activities of daily living (grooming, eating, bathing, dressing, and personal hygiene);

(2)

assistance with meal planning and preparation;

(3)

securing and providing transportation;

(4)

assistance with housekeeping;

(5)

assistance with ambulation and mobility;

(6)

reinforcement of counseling and therapy activities;

(7)

assistance with medications and the performance of tasks delegated by a registered nurse;

(8)

supervision of individuals' safety and security;

(9)

facilitating inclusion in community activities, use of natural supports, social interaction, participation in leisure activities, and development of socially valued behaviors; and

(10)

habilitation, exclusive of day habilitation.

(d)

The Family Surrogate Services provider:

(1)

allows the individual's family members and friends access to the individual without arbitrary restrictions unless exceptional conditions are justified by the individual's IDT, documented in the ISP, and approved by the DHS human services specialist;

(2)

ensures that a school-age individual receives educational services in a six-hour-per-day program five days a week provided by the local school district and that no individual receives educational services at a state school/state center educational setting, unless contraindications are documented with justification by the IDT;

(3)

ensures that a pre-school-age individual receives an early childhood education with appropriate activities and services, including but not limited to small group and individual play with peers without disabilities, unless contraindications are documented with justification by the IDT; and

(4)

provides individuals with age-appropriate activities that enhance self-esteem and maximize functional level.

§50.28.Housing Options in Assisted Living/Residential Care Services.

(a)

An assisted living apartment setting is an apartment for single occupancy that is a private space with individual living and sleeping areas, a kitchen, bathroom, and adequate storage space. It must meet the following requirements:

(1)

the apartment must have a minimum of 220 square feet, not including the bathroom;

(2)

the kitchen must be equipped with a sink, refrigerator, a cooking appliance that can be removed or disconnected, adequate space for food preparation, and storage space for utensils and supplies. A cooking appliance may be a stove, microwave, or built-in surface unit;

(3)

the bathroom must be a separate room in the individual's living area with a toilet, sink, and an accessible bath; and

(4)

the bedroom must be single occupancy except when double occupancy is requested by the participant.

(b)

A residential care apartment must be a double occupancy apartment with a connected bedroom, kitchen, and bathroom area that meets the following requirements:

(1)

the apartment must provide a minimum of 350 square feet of space per participant. Indoor common areas used by waiver participants may be included in computing the minimum square footage. The portion of the common area allocated must not exceed usable square footage divided by the maximum number of individuals who have access to the common areas; and

(2)

the kitchen must be equipped with a sink, refrigerator, a cooking appliance that can be removed or disconnected, adequate space for food preparation, and storage space for utensils and supplies. A cooking appliance may be a stove, microwave, or built-in surface unit.

(c)

The assisted living/residential care apartment may be an efficiency or one- or two-bedroom apartment, and each apartment must have a private bath and cooking facilities.

(d)

A residential care non-apartment setting is a licensed assisted living facility that has living units that do not meet either the definition of an assisted living apartment or a residential care apartment. Living units may be double occupancy. The facility must:

(1)

be freestanding; and

(2)

be licensed for 16 or fewer beds.

§50.30.24-Hour Residential Habilitation.

To contract with the Texas Department of Human Services (DHS) to provide 24-hour residential habilitation (available only to Consolidated Waiver Program (CWP) participants 18 years of age and older), providers must:

(1)

be licensed Home and Community Support Services Agencies (HCSSA) in accordance with Chapter 97 of this title (relating to Home and Community Support Services Agencies);

(2)

have a contract with DHS to provide CWP services as a HCSSA, as specified in §50.24 of this title (relating to General Contracting).

(3)

serve no more than four individuals receiving similar services at one location; and

(4)

either:

(A)

be licensed type "A" or "B" assisted living facilities; or

(B)

meet current state assisted living licensure exemptions for this type of facility as outlined in Health and Safety Code, §247.004(4). This exemption requires the Texas Department of Mental Health and Mental Retardation (TDMHMR) to monitor these providers. TDMHMR will only monitor them if the provider is certified as a Home Community- Based Services (HCS) provider in good standing with TDMHMR and there is at least one person receiving HCS at the specific location. In order to meet this exemption, the provider must:

(i)

have a contract with TDMHMR to provide HCS services; and

(ii)

be in good standing with TDMHMR; and

(iii)

have at least one person receiving HCS services on the premises.

§50.32.Maintenance of Interest Lists.

(a)

The Consolidated Waiver Program (CWP) staff maintain a list of individuals, identified from existing §1915(c) waiver interest lists, who have expressed an interest in receiving §1915(c) waiver services. The list can be accessed by Texas Department of Human Services (DHS) staff and is organized by age, institutional base, and Mental Retardation/Developmental Disability status in order to fulfill the slot allocation as outlined in §50.4(d) of this title (relating to Participant Eligibility Criteria).

(b)

The CWP staff assign an applicant's placement on the interest list chronologically by date of request for waiver services.

(c)

The CWP staff remove an individual's name from the interest list only if it is documented that:

(1)

a written request has been received from the individual or their representative to remove the individual's name from the interest list;

(2)

the individual is deceased;

(3)

the individual moved out of the designated pilot service area;

(4)

the Texas Department of Human Services (DHS) has denied the applicant enrollment and the applicant or their representative has had an opportunity to exercise the applicant's right to appeal the decision according to §50.18 of this title (relating to Right to Appeal);

(5)

the individual or the individual's representative has not responded to the CWP's notification of a program vacancy within 30 calendar days of the date of the CWP's written notification;

(6)

the individual is receiving §1915(c) waiver services;

(7)

the individual or the individual's representative chooses participation in another §1915(c) Medicaid waiver program instead of the CWP when offered this choice in accordance with §50.4(a) of this title (relating to Participant Eligibility Criteria);

(8)

the individual or the individual's representative refuses CWP services; or

(9)

the applicant is certified as eligible for CWP services.

§50.34.Calculation of Room and Board Amounts.

(a)

The Consolidated Waiver Program (CWP) does not reimburse providers for room and board, as indicated in §50.20 of this title (relating to Provider Claims Payment). Participants who receive CWP services other than respite in a residential setting of adult foster care, assisted living/residential care, 24-hour residential habilitation, or family surrogate services setting are required to pay their own room and board directly to the provider.

(b)

To determine the room and board amounts for participants residing in adult foster care, 24-hour residential habilitation, family surrogate services, or assisted living facilities, Texas Department of Human Services (DHS) staff apply the following post-eligibility calculations:

(1)

for individuals, the room and board amount is the supplemental security income (SSI) federal benefit rate (FBR) minus the personal needs allowance;

(2)

for SSI couples, the room and board amount is the SSI FBR minus the personal needs allowance for an individual multiplied by 2; or

(3)

for couples with incomes that exceed the SSI FBR for couples, the room and board amount is the couple's monthly income minus the personal needs allowance for an individual multiplied by 2. This amount cannot exceed double the room and board amount for an individual.

§50.36.Circumstances Requiring Denial of Services with Advance Notice.

(a)

Advance notice is a statement of the action the state intends to take provided in writing to the individual or the individual's authorized representative. Advance notice advises them of the right to a hearing, the method by which a hearing may be obtained, and that the individual may represent himself, or use legal counsel, a relative, a friend, or other spokesperson. The Texas Department of Human Services (DHS) must mail a notice to the participant at least 12 days before the day of action.

(b)

The Consolidated Waiver Program (CWP) provider agency must provide written documentation to the DHS case manager within two DHS workdays of the occurrence to support a recommendation for denial of CWP services, if one or more of the circumstances occurs:

(1)

the participant leaves the pilot area for more than 90 days. DHS retains the authority to extend this time in extraordinary circumstances;

(2)

the participant has been legally confined or has resided in an institutional setting for longer than 120 days. An institution includes legal confinement, an acute-care hospital, a state hospital, a rehabilitation hospital, a state school, a nursing home, or an intermediate-care facility for persons with mental retardation/related conditions (ICF-MR/RC). DHS will retain authority to extend this time in extraordinary circumstances;

(3)

the participant is not financially eligible for Medicaid benefits;

(4)

the participant does not meet the individual level-of-care criteria as set out in §50.8 of this title (relating to Individual Level-of-Care Criteria);

(5)

the estimated cost of the CWP services necessary to adequately meet the needs of the participant exceeds the CWP cost ceiling;

(6)

Home and community support services agencies (HCSSA) providers have refused to serve the participant on the basis of a reasonable expectation that the participant's medical and nursing needs cannot be met adequately in the participant's residence;

(7)

the participant or someone in the participant's home refuses to comply with mandatory program requirements, including the determination of eligibility and/or the monitoring of service delivery;

(8)

the participant fails to pay his room and board expenses or copayment in the adult foster care, assisted living/residential care, 24-hour residential habilitation, or family surrogate services setting;

(9)

the participant fails to pay his qualified income trust copayment;

(10)

the situation, participant, or someone in the participant's home is hazardous to the health and safety of the service provider, but there is no immediate threat to the health or safety of the provider; or

(11)

the participant or someone in the participant's home openly uses illegal drugs or has illegal drugs readily available within sight of the service provider.

(c)

The supporting documentation must include a description of the interventions that have occurred before the decision to recommend the denial of services. The documentation must justify the reasons for denial and describe the strategies, outcomes, and negotiations with the participant in accordance with the program policies outlined in CWP policy letters or the CWP provider manual.

(d)

If the DHS case manager determines the documentation supports initiation of denial, the case manager provides written notification of denial to the participant and CWP provider agency within two DHS workdays of receipt of the provider's written recommendation for denial. The written notification must specify the reason for denial, along with the regulatory reference, the effective date of denial, and provide written notice of the right to appeal.

(e)

If the participant appeals the notification of denial within 10 days of receiving written notification, the CWP provider agency continues CWP services until notification of the decision by the DHS hearing officer. The CWP provider agency must not reduce waiver services until the outcome of the appeal is known.

§50.38.Circumstances Requiring Denial of Services and Medicaid Eligibility Without Advance Notice.

(a)

The Texas Department of Human Services (DHS) case manager is required to deny Consolidated Waiver Program (CWP) services without advance notice as defined in §50.2 of this title (relating to Definitions) and §50.18 of this title (relating to Right to Appeal), if one or more of the following occurs:

(1)

the operating agency or its designee has factual information confirming the death of the participant;

(2)

the operating agency or its designee receives a clearly written statement signed by the participant that:

(A)

he no longer wishes services; or

(B)

gives information that requires termination or reduction in services and indicates that he understands that this must be the result of supplying that information;

(3)

the participant's whereabouts are unknown and the post office returns agency or designee mail directed to him or her indicating no forwarding address;

(4)

the operating agency or its designee establishes the fact that the participant has been accepted for Medicaid services by another state; or

(5)

a change in the level of medical care is prescribed by the participant's physician that indicates that due to the individual's change in condition, the participant is no longer appropriate for waiver services.

(b)

The CWP provider agency must verbally notify the DHS case manager by the next DHS workday of the reason for denial and provide written documentation on the case information form within two DHS workdays of the verbal notification.

§50.40.Circumstances That May Result in Denial of Services and Require Advance Notice.

(a)

If one or both circumstances specified in paragraphs (1)-(2) of this subsection occur, the Texas Department of Human Services (DHS) case manager may deny Consolidated Waiver Program (CWP) services. The CWP provider agency must provide written documentation to DHS to support the reason for the denial of services:

(1)

The participant or someone in the participant's home has a substantial and demonstrated pattern of verbal abuse and harassment of service providers, not related to the participant's disability, that results in an inability to provide services to the participant;

(2)

The participant or someone in the participant's home has a substantial and demonstrated pattern of discrimination against the service providers on the basis of race, color, national origin, age, sex, or disability that has not improved with appropriate intervention and that results in an inability to provide services to the participant.

(b)

The case manager must mail advance written notification of denial of services to the participant with written notice of the right to appeal at least 12 days before the effective date of the denial. The notification must specify the reason for denial, along with the regulatory reference, and the effective date of denial.

(c)

If the participant appeals the denial of services within 10 days of written notification, the CWP provider agency must continue CWP services until notification of the decision by the DHS hearing officer. The CWP provider agency must not reduce or suspend services until the outcome of the appeal is known.

§50.42.Crisis Intervention Requiring Immediate Suspension or Reduction of Services without Advance Notice.

(a)

If the participant or someone in the participant's place of residence exhibits reckless behavior that may result in imminent danger to the health and safety of service providers, the Texas Department of Human Services (DHS) case manager and Consolidated Waiver Program (CWP) provider agency are required to make an immediate referral for appropriate crisis intervention services to the Texas Department of Protective and Regulatory Services (TDPRS) and/or the police and suspend CWP services. Suspension of services is defined in §50.2 of this title (relating to CWP Definitions).

(b)

The DHS case manager must immediately provide written notice of temporary suspension to the participant and the right of appeal to a fair hearing must be explained to the participant. The written notification must specify the reason for denial or suspension, along with the regulatory reference, the effective date, and the right of appeal.

(c)

The CWP provider agency must verbally inform the DHS case manager by the following DHS workday of the reason for the immediate suspension and provide written notification to DHS within two DHS workdays of verbal notification.

(d)

The DHS case manager must make a face-to-face visit to initiate efforts to resolve the situation. If the temporary suspension of services constitutes a threat to the health and safety of the participant, community alternatives or placement in an institutional setting must be offered and facilitated by the case manager.

(e)

With prior authorization by DHS, the CWP provider agency may continue providing services to assist in the resolution of the crisis. This service will be reimbursed as an administrative expense.

(f)

If the crisis is not satisfactorily resolved, the DHS case manager provides notification of denial of services and offers the right of appeal. Services do not continue during the appeal process.

§50.44.Immediate Suspension Due to Temporary Institutional Stay.

(a)

If the participant becomes legally confined or is admitted to an institution, the Consolidated Waiver Program (CWP) provider agency is required to immediately suspend CWP services. An institution includes an acute-care hospital, state hospital, rehabilitation hospital, state school, nursing home, or intermediate-care facility.

(b)

The CWP provider agency must verbally notify the Texas Department of Human Services (DHS) case manager by the next DHS workday of the reason for suspension and provide written documentation on the case information form within two DHS workdays of the verbal notification.

§50.46.Sanctions.

(a)

The Texas Department of Human Services (DHS) may sanction, up to and including contract termination, a Consolidated Waiver Program (CWP) provider agency that:

(1)

has discontinued services to a participant for a reason other than what is allowed in §50.42 of this title (relating to Crisis Intervention Requiring Immediate Suspension or Reduction of Services without Advance Notice) and §50.44 of this title (relating to Immediate Suspension Due to Temporary Institutional Stay);

(2)

uses the information cited in §50.42 to this title (relating to Crisis Intervention Requiring Immediate Suspension or Reduction of Services without Advance Notice) to discontinue services to a participant when the provider agency knew or should have known that the cited information did not apply to the participant; or

(3)

is a Home and Community-based Services (HCS) provider who is being monitored by the Texas Department of Mental Health and Mental Retardation (TDMHMR) as indicated in §50.30 of this title (relating to 24-Hour Residential Habilitation) when DHS receives a recommendation from TDMHMR that the provider should be sanctioned or is being sanctioned by TDMHMR.

(b)

Additional reasons for the CWP provider agency sanctions are located in §49.19 of this title (relating to Contracting for Community Care Services).

§50.48.Utilization Review.

(a)

The Texas Department of Human Services (DHS) will review a proposed Individual Service Plan (ISP) and supporting documentation specified in §50.16 of this title (relating to Individual Service Plan for Waiver Services) upon receipt of a proposed ISP having a cost that exceeds 100% of:

(1)

the Nursing Facility Texas Index for Level of Effort for individuals who meet the level-of-care criteria for medical necessity for nursing facility care in accordance with §50.8(a)(1) of this title (relating to Individual Level of Care Criteria); or

(2)

the estimated annualized average per capita cost for Intermediate Care Facility for Individuals with Mental Retardation (ICF/MR) services for individuals who meet the level-of-care criteria for an ICF/MR in accordance with §50.8(a)(2) of this title (relating to Individual Level of Care Criteria).

(b)

DHS will review the proposed ISP to determine if the type and amount of CWP program services specified in the ISP are appropriate and supported by documentation specified in §50.16 of this title (relating to Individual Service Plan). After reviewing the proposed ISP and supporting documentation, DHS may request additional documentation. DHS will review any additional documentation submitted in accordance with its request. DHS may modify an ISP based on its review and approve the proposed ISP or send written notification that the proposed ISP has been approved with modifications.

(c)

Subsections (a)-(b) of this section do not apply to ISPs that are being denied due to exceeding the cost ceiling as defined in §50.4(a)(5)(A)-(B) of this title (relating to Participant Eligibility Criteria).

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on April 9, 2001.

TRD-200102016

Paul Leche

General Counsel, Legal Services

Texas Department of Human Services

Earliest possible date of adoption: May 20, 2001

For further information, please call: (512) 438-3108


Part 3. TEXAS COMMISSION ON ALCOHOL AND DRUG ABUSE

Chapter 141. GENERAL PROVISIONS

40 TAC §§141.61, 141.62, 141.71

The Texas Commission on Alcohol and Drug Abuse proposes to adopt new §§141.61, 141.62 and 141.71 of Chapter 141, General Provisions.

The new sections contain information regarding the procurement of goods and services, procurement protest and eligibility requirements and employee obligations for training and education. Additionally, new §141.61 and §141.62 are proposed to comply with Texas Administrative Code, Title 1, Part 15, Chapter 391.

Jay Kimbrough, Executive Director, has determined that for the first five-year period the new sections are in effect there will be no fiscal implications for state or local government as a result of the proposed sections.

Mr. Kimbrough has also determined that for each year of the first five years the new sections are in effect the anticipated public benefit will be streamlined purchasing processes under the authority delegated to the Health and Human Services Commission. There will be no effect on small businesses. There is no anticipated economic cost to current providers.

Comments on the proposal may be submitted to Tamara Allen, Rules Coordinator, Texas Commission on Alcohol and Drug Abuse, P.O. Box 80529, Austin, Texas 78708-0529. Comments must be received no later than 30 days after the date the proposal is published in the Texas Register

The new sections are proposed under the Texas Health and Safety Code, §461.012(a)(15) which provides the Texas Commission on Alcohol and Drug Abuse with the authority to adopt rules governing the functions of the commission, including rules that prescribe the policies and procedures followed by the commission when funding services and §461.0141 which provides the commission with authority to adopt rules regarding purchase of services.

The code affected by the proposed new sections is the Texas Health and Safety Code, Chapter 461.

§141.61.Procurement.

(a)

The commission shall procure all goods and services in compliance with Texas Administrative Code, Title 1, Part 15, Chapter 391.

(1)

Procurements will be classified as either formal or informal, based on the estimated dollar value of the transaction. Dollar thresholds will be established in commission policies and procedures, and the methodology will be reviewed annually.

(2)

The commission may use a waiver process as defined in Texas Administrative Code, Title 1, Part 15, Chapter 391 for procurements below $100,000. The waiver process will be used because of the uniqueness of circumstances related to that procurement action. All waivers will be approved by the Executive Director.

(3)

Procurement of prevention, intervention, treatment and related support services shall be conducted as described in Chapter 143 of this title (relating to Funding).

(b)

The commission adopts by reference rules relating to Historically Underutilized Businesses published by the General Services Commission in the Texas Administrative Code, Title 1, Part 5, Chapter 3, Subchapter B.

(c)

Procurement personnel, vendors, contractors, and suppliers will adhere to standards of conduct established in commission policies and procedures. These standards shall be at least as restrictive as standards of conduct for state officers and employees under applicable state and federal law.

§141.62.Procurement Protests.

(a)

An applicant may request an informal review of a tentative purchase award if:

(1)

the applicant was not selected in a competitive procurement;

(2)

the procurement was a sole source or emergency procurement; or

(3)

the procurement was made under an Executive Director waiver.

(b)

The protest must be limited to issues relating to the applicant's qualifications, the suitability of the goods or services offered by the applicant, or alleged irregularities in the procurement process.

(c)

A procurement review request must be submitted in writing and received by the commission no later than 30 calendar days after the date of the award, except for protests alleging irregularities involving standards of conduct on the part of commission employees or selected vendors, which must be received by the commission no later than 90 calendar days after the date of the award.

(d)

The protest process shall be carried out in accordance with commission policies and procedures, which include documentation standards.

(e)

A procurement protest shall not be conducted as a contested case under the Administrative Procedure Act, Chapter 2001, Government Code.

(f)

The commission shall not award a contract for a protested procurement until the commission has provided the protesting applicant with a written response. The commission may waive this requirement for exigent circumstances or when an award required by state or federal law must be completed by a particular date.

§141.71.Training and Education.

Commission policy establishes eligibility requirements and employee obligations for training and education supported by the agency.

This agency hereby certifies that the proposal has been reviewed by legal counsel and found to be within the agency's legal authority to adopt.

Filed with the Office of the Secretary of State, on April 4, 2001.

TRD-200101971

Karen Pettigrew

General Counsel

Texas Commission on Alcohol and Drug Abuse

Earliest possible date of adoption: May 20, 2001

For further information, please call: (512) 349-6607