HB 2276 — Home care rates

Summary

Improving the functioning of home care rate statutes.

Bill Text

Compared against the Revised Code of Washington as published AI-generated reading aid — verify against the official bill.

This bill amends 2 section(s) of the Revised Code of Washington: RCW 74.39A.310; RCW 74.39A.530.

• RCW 74.39A.310

  The convert and distribute any change in the labor into a per- quarter-hour amount. This must be accomplished in each odd-numbered year within sixty days after adjournment sine die of the legislative session per-quarter-hour amount shall be added to or subtracted from the statewide home care agency vendor rate and any increase improving any resulting change in changes to wages, benefits, and compensation negotiated and funded each biennium, including but not limited to: (i) Wages; (ii) Benefit pay, such as vacation, sick, and holiday pay; (iii) Mileage; (iv) Contributions to a training partnership; (v) Contributions to the health benefit trust; and (vi) Contributions to the defined contribution retirement trust; and change in the vendor → read as follows: (1) In each odd-numbered year, within 60 days after the adjournment sine die of the legislative session, the department shall determine a home care agency labor rate by converting and distributing: (a) The total amount of wages and benefits negotiated and funded in the contract for individual providers of home care services pursuant to RCW 74.39A.270 and 74.39A.300; or (b) Labor rates established under RCW 74.39A.530 . (2) The home care agency labor rate determined in subsection (1) of this section paying required employer contributions or premiums, including but not limited to: (a) Wages; (b) Benefit pay, such as vacation, sick, and holiday pay; (c) Mileage; (d) Contributions to a training partnership; (e) Contributions to the health benefit trust; and (f) Contributions to the defined contribution retirement trust. (3) When determining the per-quarter-hour amount, the department must include: (a) The total amount of wages and benefits negotiated and funded in the contract for individual providers of home care services pursuant to 74.39A.530; averag osts experienced by med as det ined by the department i ontrib ons or premiums requir to: ibutio ct; ax act x auth y; cal le act; and tion s m; and rmined the department in its sation r work time that may n as tra time, that must be pa wage hour laws and any re remium home care agency labor (5) The portions of the home care agency labor rate calculated for training may only be used for training, testing, and certification costs, and associated costs for the administration of training, testing, and certification scheduling and compliance for home care agency workers who provide direct care. (6) When establishing the per-quarter-hour amount for the home care agency labor rate, the department must prevent duplicate accounting for the same cost. (7)(a) The department or its designee shall verify that home care agencies have expended funds in accordance with the requirements of this section. (b) To assist the department or its designee with the verification requirement in (a) of this subsection, each home care agency shall submit either: (i) An independent third-party audit conducted by a qualified, accredited firm to validate compliance with requirements established in this section; or (ii) A written attestation from the labor organization that is the exclusive bargaining representative of the home care workers who provide direct care that are employed by the agency, confirming that the home care agency has complied with the labor rate, health care rate, and training rate requirements. (c) The department may adopt rules to establish reasonable objective criteria through a transparent process to temporarily exempt a home care agency determined to be facing extraordinary circumstances that prevent their compliance with this section. The department shall develop these criteria through a transparent process that includes public notice and opportunities for comment from interested parties. (8) The department shall determine a home care agency administrative rate following the process established in RCW 74.39A.530. (9) For the purposes of this section, "home care agency administrative rate" means the portion of the home care agency vendor rate, as defined in RCW 74.39A.530, designated to support the administrative functions and essential operations of a home care agency, including but not limited to: (a) Compliance with administrative requirements related to department of health licensing provisions and department contracts for personal care and respite services; (b) Payment of all taxes and costs associated with obtaining and maintaining a licensed business in the state of Washington, as well as compliance with all labor and industry, local, state, and federal standards and laws; (c) Business and occupation tax on any increases to the labor rate; (d) Funding for electronic visit verification; and (e) Funding for personal protective equipment.

  amended

• RCW 74.39A.530

  In addition to overtime and compensable travel time set forth in RCW 74.39A.525, the initial labor rates shall be paid as described in the most recent collective bargaining agreement between the governor and the service employees international union 775, plus the hourly roll-up costs of any additional legally required benefits or labor costs, until subsequent rates can be established in accordance with this section. (2) (3) (2) (2) (4) under subsection (1) of this section may take testimony and make a recommendation regarding the administrative vendor rate for home care agencies that serve medicaid clients (5) (2) (2) (2) (2) (6) , an administrative rate, or both, July : (a) The (2) (5) ; and The administrative rate shall be determined by the department. (7) (3) (6) (8) (6) (9) (10) (11) The department shall make a one-time transfer of funds totaling the full amount of previously unclaimed paid time off to the consumer directed employer, and shall transfer all associated liabilities for payment of unclaimed paid time off to the consumer directed employer. This amount shall be accounted for as a labor rate payment. (12) (13) → read as follows: If the department contracts with a consumer directed employer: (1) A rate-setting board is established which is comprised of the voting members and nonvoting members to evaluate and propose changes in the rates paid to the consumer directed employer. (a) The following members shall be voting members: (i) One representative from the governor's office; (ii) One representative from the department; (iii) One representative from each consumer directed employer; and (iv) One designee from the exclusive bargaining representative of individual providers or, in the absence of an exclusive bargaining representative, a designee from the consumer directed employer workforce chosen by the employees of the consumer directed employer. (b) The following nine members of the board shall be nonvoting advisory members: (i) Four legislators, one member from each caucus of the house of representatives and the senate; (ii) One representative from the state council on aging, appointed by the governor; (iii) One representative of an organization representing people with intellectual or developmental disabilities appointed by the governor; p. 4 HB 2276 ⟦INS⟧(iv) One representative of an organization representing people with physical disabilities appointed by the governor; (v) One representative from the licensed home care agency industry chosen by the state's largest association of home care agencies that primarily serves state-funded clients; and (vi) One home care worker chosen by the state's largest organization of home care workers. (c) The governor's appointments shall be made by April 1st in even-numbered years. The incumbent member of the board shall serve until their replacement is appointed. (2) When the board membership has four voting members listed in subsection (1)(a) of this section, each voting member shall have one vote. When there are five voting members due to two consumer directed employer representatives, each voting member listed in subsection (1)(a) of this section shall have two votes with the exception of the consumer directed employer representatives who shall have one vote. Voting members cannot split their votes. A majority of the voting members of the board constitutes a quorum for the transaction of business and is necessary for any action taken by the board. (3) Beginning in the year following the establishment of the initial rate , and in every even-numbered year thereafter, the rate-setting board shall attempt to determine a proposed labor rate, including a specific amount for health and training benefits by considering the factors listed in RCW 41.56.530 (1) and (5). In addition, the rate-setting board shall attempt to determine an administrative rate for the consumer directed employer. In determining the consumer directed employer administrative rate, the department may not recommend a rate that represents more than 20 percent of the sum of the consumer directed employer labor rate and the consumer directed employer administrative rate. In addition, the rate-setting board shall review the department's projection of the home care agency labor rate in RCW 74.39A.310. The rate-setting board shall take testimony and shall attempt to determine a home care agency administrative rate. In determining the home care agency administrative rate, the rate- setting board may not recommend a rate that represents more than 20 percent of the home care agency vendor rate (4) de ppo for e c enc tie the mbe ust oti mem ill air ti bre if vo (1) ect are e f t o (1) r ma oti mem t o ve ect em erv . m ity se ion de men f th ist the in , de ll ike cte plo he t, ll ike na f t hai emb hat rso eco to the ir ail , ber his l a air e oc (1) member by a majority vote, the chair member will be selected using the method described in (b) of this subsection except that the order of board members striking names from the list, described in (b)(ii) of this subsection, shall be reversed. (d) On each successive occasion that the voting member

  amended

Action History

1. January 12, 2026

   First reading, referred to Appropriations.

Sponsors

• (Rule) · Primary

Subjects