New York Lawmakers Address Medicaid Home Care Payroll Issues

News Summary

New York lawmakers are tackling crucial Medicaid home care payroll problems as the transition to Public Partnerships LLC has led to payment irregularities affecting many caregivers. With upcoming discussions on legislative solutions, concerns regarding adequate care for the disabled and elderly persist. Governor Hochul emphasizes combating waste and fraud as key to the transition, while investigations into fraudulent practices continue. The outcome of these discussions will significantly impact thousands of New Yorkers who rely on these critical services.

New York Lawmakers Confront Medicaid Home Care Payroll Problems

In New York City, the spotlight is shining on a pressing issue that has state lawmakers scrambling for solutions to Medicaid home care payroll problems. As the state prepares to finalize its budget, several legislators have announced their intention to push for new legislation aimed at addressing the ongoing chaos surrounding the transition to a new provider for the state’s $9 billion Medicaid home care program.

The Shift to Public Partnerships LLC

The crux of the matter lies in the transition of care for thousands of disabled and elderly individuals. These individuals are being moved from over 600 fiscal intermediaries to just one company, Public Partnerships LLC (PPL). While the goal is to streamline the care process, the execution has left much to be desired. Legislators are actively seeking ways to improve the transition process in the coming spring, as the current situation has been labeled as unacceptable.

Issues Arising from the Transition

As the transition began on April 1, many home care workers have reported receiving late or incorrect paychecks. This has raised alarm bells about adequate care for those who depend on these services. Testimonies from personal care assistants reveal alarming evidence about the fallout from the payroll issues, with some highlighting significant payment irregularities, especially for those providing round-the-clock care.

A Strained System

Among the complaints are frustrations with PPL’s time card system and the updates to their mobile app, which were expected to resolve some of these payment issues. Lawmakers are now advocating for solutions that would ensure that fiscal intermediaries can continue their operations post-transition or possibly implement a state licensing system for better oversight.

Legislators Taking Action

As the chaotic situation evolves, lawmakers anticipate further discussions about these issues at an upcoming conference next month. Some are expressing discontent regarding the transition, stating they never approved of the mess that’s currently unfolding.

Official Response

Governor Kathy Hochul is standing by the transition, citing the necessity of combating waste and fraud within the program, which has faced escalating costs. Her administration has instructed the state’s Health Department to implement improvements to address the ongoing problems during this transition. Additionally, the state has been compelled by a federal judge to extend the registration deadline for users and workers in the Consumer Directed Personal Assistance Program (CDPAP).

Claims and Concerns

PPL has asserted that they have successfully issued timely payments to over 130,000 caregivers and are processing payroll on a daily basis. Yet, there’s still a significant gap, as approximately 200,000 consumers have fully registered with PPL, but only about 180,000 of the expected 255,000 workers have completed their own registration.

Fraud Allegations and Cease-and-Desist Orders

Complicating matters further, allegations have surfaced concerning two Brooklyn-based home care businesses accused of defrauding the Medicaid home care program out of a staggering $68 million through bribery and kickback schemes. The Medicaid Fraud Control Unit is investigating these claims, which, if substantiated, could lead to major consequences for the involved agencies.

Moreover, a settlement of $17.25 million has already been reached with two Brooklyn agencies for not paying wages and manipulating funds, indicating that the issues run deep. In an effort to maintain integrity in information dissemination, the state has also sent cease-and-desist orders to companies spreading misinformation about the transition.

Looking Ahead

As tensions rise among the state, care agencies, and workers, it’s clear this transition is fraught with challenges. The stakes are high, and the legislative discussions unfolding in the upcoming weeks may determine the future of home care services for thousands of New Yorkers who rely on them.

Deeper Dive: News & Info About This Topic

• New York Post: Scammers Ripped Off NY’s Medicaid Homecare Program
• BK Reader: Brooklyn Home Health Care Agencies Cheated Workers
• Brooklyn Paper: Brooklyn Home Care Unpaid Wages Settlement
• PolicyMed: Eight Individuals Indicted in Medicaid Fraud Scheme
• Crain’s New York: Gov. Kathy Hochul Sends Cease and Desist Letters
• Wikipedia: Medicaid
• Google Search: Medicaid Fraud
• Google Scholar: Medicaid Home Care
• Encyclopedia Britannica: Medicaid
• Google News: Medicaid Fraud New York