Effective July 1, 2014, the Minnesota Legislature granted providers of Personal Care Attendant (PCA)
Services, a 5% reimbursement rate increase. The intent of this 5% rate increase was to provide a rate
adjustment for wages and compensation-related costs/benefits for eligible employees, specifically
individuals providing direct support services (DSPs) and to offer additional administrative support as
well.
The legislation requires that 80% of the money made available by the rate adjustment must be used to
increase wages and compensation-related costs. This requirement applies to all home and community
based waivers and home care providers. The legislation, detailed in DHS Bulletin # 14-69-03, describes
those employees who are eligible, the requirements of the agencies and other qualifications of the
legislation. For more information, please view the 2014 Rate Change Resources and Contacts.
The State of Minnesota’s PCA program received a reimbursement rate adjustment of $0.79/hour. Ability
Care Partners, Inc. passed along at least 80% of this adjustment to all PCAs through a $0.50/hr. raise in
hourly wages, and increase in compensation-related costs (taxes, workers compensation benefits and
unemployment insurance).
Allowable costs for the 80% requirement include:
• Wages and salaries
• Employers share of insurance (health, dental, life, disability and long-term care)
• Pensions, contributions to employee retirement accounts
• Taxes (FICA, FUTA, SUTA, Medicare and worker’s compensation)
• Uniform allowances
• Mileage reimbursement
• Workforce needs including recruiting and training of PCAs and QPs
If you feel that you have not been adequately compensated, please contact us with your questions and
concerns. You may also contact DHS with your concerns at (651) 431-4878 or toll-free at (866) 901-7686.
TDD users can call the Minnesota Relay Service at 711 or (800) 627-3529. For Speech-to-Speech Relay,
call (877) 627-3848.
You may also send concerns and questions by email to us at staff@abilitycare.com or to DHS at
dhs.ccarates@state.mn.us.
Another alternative for your concerns is the mail: see the address below. Please make sure that you have
written “ATTN: 2014 COLA” on the envelope.
Minnesota Department of Human Services
2014 Continuing Care Rate Changes
PO Box 64967
St. Paul, MN 55164-0967