OFFICE OF FISCAL ANALYSIS

Legislative Office Building, Room 5200

Hartford, CT 06106 (860) 240-0200

http://www.cga.ct.gov/ofa

sHB-5460

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

AMENDMENT

LCO No.: 4891

File Copy No.: 200

House Calendar No.: 159


OFA Fiscal Note

State Impact:

Agency Affected

Fund-Effect

FY 19 $

FY 20 $

Policy & Mgmt., Off.

GF - Cost

$18 million

$18 million

Resources of the General Fund

GF - Revenue Gain

$4 million

$4 million

Note: GF=General Fund

Municipal Impact: None

Explanation

The amendment strikes the language in the underlying bill and the associated fiscal impact.

The amendment results in a gross cost of approximately $18 million associated with providing a 1% cost of living adjustment (COLA) to employees of certain human services providers, as defined in the amendment. The amendment appropriates $18 million to the Office of Policy and Management (OPM) for this purpose.

A portion of the costs supporting developmental services related providers will be off-set by federal grants revenue of approximately $4 million associated with Medicaid waiver reimbursement of 50% for such services.

Private provider rates may be reduced if such providers do not distribute the COLA to employees as specified in the amendment.

The preceding Fiscal Impact statement is prepared for the benefit of the members of the General Assembly, solely for the purposes of information, summarization and explanation and does not represent the intent of the General Assembly or either chamber thereof for any purpose. In general, fiscal impacts are based upon a variety of informational sources, including the analyst's professional knowledge. Whenever applicable, agency data is consulted as part of the analysis, however final products do not necessarily reflect an assessment from any specific department.