OLR Bill Analysis

sHB 5460

AN ACT CONCERNING MINIMUM EMPLOYEE WAGES FOR PROVIDERS OF STATE-CONTRACTED HUMAN SERVICES.

SUMMARY

By July 1, 2018, this bill requires the commissioners of the departments of social services (DSS), children and families (DCF), developmental services (DDS), rehabilitative services (DORS), and mental health and addiction services (DMHAS), to adjust the rate methodology in contracts with private human services providers, in accordance with standard accounting principles as the commissioners prescribe, to provide a proportional increase in salaries and wages of hourly employees to a $15 per hour minimum wage.

Where applicable, the bill requires rate adjustments to reflect reasonable costs mandated by collective bargaining agreements with certified collective bargaining agents or otherwise provided by a human services provider to employees. It does not require commissioners to distribute the rate adjustments in a way that jeopardizes federal reimbursement. The bill allows the state to rescind rate increases of providers who received rate adjustments but do not provide salary increases by July 31, 2018.

Under the bill, “employees” are any person receiving compensation for services, including anyone under a contractual arrangement with a human services provider who is not directly employed by such a provider (e.g. subcontractors). The bill defines “human services” as any services administered by DSS, DCF, DDS, DORS, and DMHAS that involve direct care of people, including (1) medical services, (2) mental health and addiction treatment, (3) nutrition and housing assistance, (4) services for people with intellectual and developmental disabilities, and (5) residential and habilitative services.

COMMITTEE ACTION

Human Services Committee

Joint Favorable Substitute

Yea

19

Nay

0

(03/22/2018)