Respite Family Member Vendor Orientation Service Code 420

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Respite Family Member Vendor Orientation(Service
Code 420)

• Alta California
• Regional Center

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Definition of Respite

• Respite means intermittent or regularly
  scheduled temporary non-medical care and
  supervision provided in the clients own home,
  for a client who resides with a family member.
• Lanterman Act
  4690.2

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Vendor Requirements forRespite - Family Members

• Vendor is usually a family member
• Is not the direct care provider
• Selects and hires a respite worker who possesses
  the skills, training, and education necessary to
  provide the respite service
• Respite service needs be provided in the
  consumers home
• Other children in the home must have their own
  babysitter

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Vendor Responsibilities

• Recruiting and Hiring
• Training and Supervision
• Potential Responsibilities as a Household
  Employer
• Register with Employment Development Department
  (EDD)
• Federal and State payroll tax returns
• Workers Compensation and Liability Insurance
• Maintain tax and payment records
  (Keep all records for 5 yrs)

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Vendorization Process
Contact for Vendorization questions Janet Bakos
[phone]
Services provided prior to the effective date
will not be reimbursed

• Attend the Vendor Orientation
• Complete and return Application Packet
• Application Packet is reviewed
• Vendor Number is assigned to parent

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Vendorization Process cont.

• An approval letter is mailed stating the vendor
  number and effective date
• Approval letter also states vendor needs to
  contact Service Coordinator for an authorization
• Service Coordinator is informed of the vendor
  number and effective date
• Service Coordinator completes an authorization

Contact Janet Bakos by mail if a change occurs in
vendor name, address, or telephone number any
time after the vendor number is assigned
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Information about the In-Home Respite Worker

• The Respite Worker you hire must
• Not be living in your home with you and the
  consumer
• Not be a parent/legal guardian
• Be 18 years of age or older
• Have a valid Social Security Number and the legal
  right to work in the United States

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Respite Worker Training

• Vendor trains, assigns and monitors the respite
  worker
• Vendor may require respite worker to be certified
  in CPR and First Aid
• These expenses are not covered or reimbursed by
  ACRC
• For schedules and fees contact 1.
  Local Community Centers 2.
  Schools
  3. American Red Cross [phone]
  www.sacramento-redcross.org

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Accounting Cycle

• Bills are paid the month after services have
  been provided
• Turn Around Invoices (TAI) are mailed around the
  20th of each service month
• Bills received by the 5th are reimbursed in the
  first check run
• The first ck run is the 15th
• Late bills (received after the 5th) are
  reimbursed in the second ck run
• The second ck run is the last working day of
  each month

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To Bill For Services

• Submit a Turn Around Invoice (TAI) with an
  attached Respite Services Billing Form (DS1811)
  for each service month In-home Respite was
  provided.
• Contact for billing questions
  Janet Froman [phone]

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To Complete the Turn Around Invoice (TAI)

• Write in the total number of hours and the
  total dollar amount you are billing next to
  totals boxes
• Vendor needs to sign and date
• Bill using the white TAI and Billing Form (staple
  together) and bill to
  ACRC attention Accounting Department
• Keep the yellow TAI and a COPY of the Billing
  Form for your records!!!

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(No Transcript)
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To Complete a Billing Form

• Fill in all requested information
• Show month and year for every bill
• Consumer information is the Alta Client (the
  child)
• Vendor information is the Parent
• List each date of service
• Provide start and end times (use
  AM and PM on all times)
• Add up the number of hours and the amount billed
  for each date

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To Complete a Billing Form (page 2)

• Respite Worker(s) and the Vendor sign the back of
  the Billing Form under their respective
  Certification Statements
• Respite Worker(s) provides their address, phone
  number, and Social Security
• If the Vendor or Respite Worker provides
  information that is untrue, they could be fined
  or go to jail!!!
• You may get Respite Services Billing Forms
  (DS1811) _at_ www.altaregional.org
• This Billing Form has been provided by DDS and
  it is required to be reimbursed for respite
  services.

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(No Transcript)
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(No Transcript)
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Reasons Bill may be Denied

• Respite Worker lives in your home
• Service was provided in a non-relatives home
• Billed before authorized
• Billed for service dates after the authorization
  expired
• Billed additional hours over the quarters
  allowed authorized hours

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Reasons Bill may be Delayed or Reduced

• Respite Worker did not provide all of their
  required information
• Respite Worker or Vendor did not sign the back of
  the Billing Form
• Late submission of bill (after the 5th)
• Math error on adding up hours
• Overlap of time between Respite Workers (or
  other services)
• Billed for services too soon

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Electronic Funds Transfer (EFT)

• Available now
• Complete an application form
• Include a voided check - with bank name, account
  number, and routing/transit number
• Payment is deposited into your bank account in
  two business days from the check run date
• Contact for EFT questions
  Sue Wilbert [phone]

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What it means to be a Vendor

• As the Vendor, you are the Employer
• The respite worker you hire is your Household
  Employee
• The amount you receive from ACRC is a
  reimbursement for the wages you pay to your
  worker and the possible payroll taxes you may
  incur
• As an employer you must keep accurate payroll
  records

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Contacts

• IRS [phone] www.irs.gov
• Publication 926
• EDD [phone] www.edd.ca.gov
• Employers Guide DE8829
• Tax withholding information
• Contact your personal tax advisor
• Insurance needs
• Contact your personal homeowners carrier for
  coverage

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Reimbursement Rate

• 8.57 per hour, includes hourly wage AND fringe
  benefits
• Fringe benefits include, but are not limited to
  Federal and State payroll taxes, Workers
  Compensation, and Liability Insurance
• Example
• You may pay respite worker 7.22/hr (6.75
  min. wage)
• Apply to fringe benefit costs 1.35/hr
• Maximum able to deduct is 1.35
• 18.75 fringe benefit rate as defined by the
  Welfare Institutions Code section 4690.2
  (b)(2)

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Records - Document WagesPaid to your Worker

• Copies of Billing Forms DS1811 Documenting
  the hours and time worked daily by the
  employee(s)
• Payroll Register
  Documenting wages paid to employee(s) and
  payroll taxes withheld
• Cancelled payroll checks issued to employees
• Recommendation Do not pay cash!
• Copies of Bank Statements

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Records - Document Wages Reported to IRS and EDD

• EDD - Form DE3 - Annual Payment
• EDD - Form DE6 - Quarterly Reporting
• IRS - Schedule H (Tax Form 1040)
• Forms W-2 - one for each employee to show income
  and possible taxes withheld
• Form W-3 - check box as Household Employer (this
  is a cover sheet to be sent in with W-2 forms)
• Form W-4

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Audit

• You may be subject to audit and verification of
  any amounts billed to and paid by the
  regional center
• You may be subject to audit and verification of
  carrying out your employer responsibilities.

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ACRC Auditing Requirements

• May include, but not limited to
• Verify Respite Workers SSN and address
• Verify hours and wages paid to Worker
• cancelled payroll checks
• worker time cards
• bank statements
• payroll registers
• W-2
• Verify payroll taxes paid by Vendor
• Form DE6 sent to EDD
• Schedule H (form1040) sent with annual IRS tax
  return
• If found not in compliance with audit and
  verification requirements
• You may be subject to devendorization,
  repayment of funds, and/or mandatory training.

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Alternative Option 1

• In-home Respite Worker (864)
• Worker is chosen by family, may keep the same
  worker and/or use a family member
• Worker is vendorized
• Worker bills and is paid by Alta directly
• Parent is not responsible for taxes and insurance
  needs
• Worker is required to maintain ongoing CPR and
  First Aid certifications
• Care is limited to this vendored respite worker,
  but they may be available at short notice
• Worker receives 1099 from Alta yearly

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Alternative Option 2

• MAXIM - Employer of Record (862)
• Maxim is the vendor
• Family chooses respite worker to apply
• Maxim completes a background check on your
  requested worker
• Respite worker is hired by Maxim as their own
  employee
• Employee is trained on consumer rights, special
  incident reporting and general safety and health
• Maxim is responsible for employee and all
  employer taxes and liabilities
• Maxim pays employee twice monthly
• Because you know the worker, service may be
  requested at short notice

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Alternative Option 3

• In-home Respite Agency (862)
• Agency is the vendor
• Agency chooses a respite worker from their own
  employees
• Agency can provide another worker during employee
  absences
• Agency is responsible for workers and all
  employer taxes and liabilities
• Parent needs to schedule respite time in advance
  with the agency in order to get service, may need
  to plan ahead
• Contact your Service Coordinator to discuss
  using the alternative options or a combination of
  them.

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THANK YOU FOR ATTENDING