98TH GENERAL ASSEMBLY
State of Illinois
2013 and 2014
SB2604

 

Introduced 10/16/2013, by Sen. Heather A. Steans

 

SYNOPSIS AS INTRODUCED:
 
20 ILCS 1705/55.5 new
305 ILCS 5/5-5.4i new

    Amends the Mental Health and Developmental Disabilities Administrative Act and the Illinois Public Aid Code. Provides that the Department of Human Services shall establish reimbursement rates which build toward livable wages for direct service personnel in residential and day programs serving individuals with developmental disabilities, including but not limited to intermediate care facilities for the developmentally disabled, community integrated living arrangements, developmental training programs, employment, and other residential and day programs for individuals with developmental disabilities supported by State funds or funding under Title XIX of the federal Social Security Act. Establishes starting wages for direct service personnel. Effective immediately.


LRB098 14204 RLC 48803 b

FISCAL NOTE ACT MAY APPLY

 

 

A BILL FOR

 

SB2604LRB098 14204 RLC 48803 b

1    AN ACT concerning care for the developmentally disabled,
2which may be referred to as the Community Disability Living
3Wage Act.
 
4    WHEREAS, An estimated 23,000 children and adults with
5developmental disabilities are supported in community-based
6settings in Illinois; direct service personnel (DSP), are
7trained paraprofessional staff that are engaged in activities
8of daily living and community support; these employees earn
9wages that place them and their families below the poverty
10level; and
 
11    WHEREAS, According to a recent industry salary survey, the
12average DSP wage in Illinois is $9.35 per hour which is 21%
13below the U.S. Department of Health and Human Services poverty
14threshold of $11.32 for a family of 4; this predominately
15female, minority workforce is often compelled to work many
16overtime hours or hold down a second job to support their
17families; many have to fall back on public benefits such as
18Medicaid and food stamps, creating additional expenditures for
19state government; low wages are a consequence of the
20historically low reimbursement rates paid by the State of
21Illinois to community-based service providers; over the last 10
22fiscal years, increases in State funding to these agencies have
23averaged less than 1% per year, for a total of 9.5%; by
24contrast, the Consumer Price Index increased 23% over the same
25period; and
 

 

 

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1    WHEREAS, The lack of adequate wages for employees who
2perform the challenging work of supporting individuals with
3disabilities results in high employee turnover, which in turn
4negatively impacts the quality of services provided; higher
5wages are proven to reduce staff turnover, improving stability
6and quality of services while reducing employer training costs;
7and
 
8    WHEREAS, The General Assembly finds that in order to reduce
9turnover, increase retention, and ensure direct service
10personnel are adequately compensated for the critically
11important work they do, an increase in rates and reimbursements
12to community-based service providers to effectuate an increase
13in the starting hourly wage paid to direct service personnel is
14needed; and
 
15    WHEREAS, It is the purpose of this amendatory Act to
16increase the wages of direct service personnel in community
17disability agencies beyond that of poverty level in an effort
18to improve their lives and the lives of the vulnerable
19individuals they support; therefore
 
20    Be it enacted by the People of the State of Illinois,
21represented in the General Assembly:
 

 

 

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1    Section 5. The Mental Health and Developmental
2Disabilities Administrative Act is amended by adding Section
355.5 as follows:
 
4    (20 ILCS 1705/55.5 new)
5    Sec. 55.5. Increased wages for direct service personnel.
6The Department shall establish reimbursement rates which build
7toward livable wages for direct service personnel in
8residential and day programs serving individuals with
9developmental disabilities under Section 54 of this Act,
10including but not limited to intermediate care facilities for
11the developmentally disabled, community integrated living
12arrangements, developmental training programs, employment, and
13other residential and day programs for individuals with
14developmental disabilities supported by State funds or funding
15under Title XIX of the federal Social Security Act. For the
16purposes of this Section, "direct service personnel" means
17direct care staff, front-line supervisors, qualified support
18professionals, nurses, and non-administrative support staff
19working in service settings outlined in this Section.
20    The Department shall increase rates and reimbursements so
21that on or before July 1, 2016 direct service personnel earn a
22starting wage of not less than $13 per hour. On or before July
231, 2014 rates shall increase to fund a $1 per hour increase. On
24or before January 1, 2015 rates shall increase to fund an
25additional $1 per hour increase. On or before July 1, 2015

 

 

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1rates shall increase to fund an additional $1 per hour
2increase. On or before January 1, 2016 rates shall increase to
3fund an additional $0.65 per hour increase.
 
4    Section 10. The Illinois Public Aid Code is amended by
5adding Section 5-5.4i as follows:
 
6    (305 ILCS 5/5-5.4i new)
7    Sec. 5-5.4i. Increased wages for direct service personnel.
8Under Section 55.5 of the Mental Health and Developmental
9Disabilities Administrative Act, the amount of the payment rate
10for all nursing facilities certified by the Department of
11Public Health under the ID/DD Community Care Act as
12Intermediate Care for the Developmentally Disabled Facilities
13or Long Term Care for Under Age 22 facilities shall increase to
14fund:
15    (1) a $1 per hour increase on or before July 1, 2014;
16    (2) an additional $1 per hour increase on or before January
171, 2015;
18    (3) an additional $1 per hour increase on or before July 1,
192015; and
20    (4) an increase to fund an additional $0.65 per hour
21increase on or before January 1, 2016.
 
22    Section 99. Effective date. This Act takes effect upon
23becoming law.