Report 2016-108 Recommendation Responses

Report 2016-108: Department of Developmental Services: It Cannot Verify That Vendor Rates for In-Home Respite Services Are Appropriate and That Regional Centers and Vendors Meet Applicable Requirements (Release Date: October 2016)

Recommendation for Legislative Action

To ensure that vendors' in-home respite hourly payment rates are reasonable and appropriate, particularly when compared to their administrative costs and the hourly wages they pay to respite workers, the Legislature should require DDS to conduct an in-depth review of its in-home respite rates by November 1, 2017. In conducting this review, the Legislature should require DDS to perform the following:

- Obtain and analyze all vendors' cost statements to determine their costs of providing services and whether vendors' administrative costs are reasonable.

- Obtain information from vendors on the hourly wages they pay to respite workers and analyze this information to determine whether vendors' hourly rates are reasonable.

- Using information from the cost statements, identify whether vendors' temporary rates should be converted to permanent rates.

- Submit a report to the Legislature on the results of its review, including a proposal on the extent to which legislative changes are needed to ensure that in-home hourly respite rates are appropriate.

Description of Legislative Action

Assembly Bill 1380 (Santiago) would require the California Department of Developmental Services to conduct an in-depth review of in-home respite provider rates by November 1, 2018, and to report the results of that review, on or before January 1, 2020, to the Legislature. This bill is pending in the Senate Appropriations Committee.

  • Legislative Action Current As-of: December 2017

California State Auditor's Assessment of 1-Year Status: Legislation Proposed But Not Enacted

All Recommendations in 2016-108