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DADS Provider Alerts — Texas Home Living (TxHmL)

Want to Become an FMSA? Attend the Open Enrollment Training Nov. 16-18 in Austin

Interested in becoming a Financial Management Services Agency (FMSA) for the Consumer Directed Services (CDS) option? Register now for a required 3-day enrollment training in Austin Nov. 16-18.

Interested parties must send at least 2, but no more than 3, people to the training; all participants must all register under the same entity name to get credit for attending. Because space is limited, registration is on a first-come, first-served basis. This training must be successfully completed before an enrollment packet can be submitted to DADS.

A certification test will be administered at the end of the training. Participants who need accommodations for the classroom training or for taking the written test should email by Nov. 2.

What is an FMSA?

FMSAs deliver financial management services to people who participate in the CDS option.

FMSAs do not deliver direct in-;home or community-based services, such as attendant services.

FMSAs provide payroll services as well as deposit and report withholding taxes on behalf of CDS employers. FMSAs also assume tax liability for proper withholding of federal income taxes and federal unemployment tax in accordance with Section 3504 of the Internal Revenue Code. In addition, they must comply with state laws and regulations of the Texas Workforce Commission regarding payment of state unemployment insurance.


Mandatory Day Program Survey Due by Oct. 15

You can help DADS comply with new federal regulations by taking a survey by Oct. 15. If your organization provides or purchases one of the services below, you must participate in this online survey.

  • Day habilitation
  • Supported employment
  • Employment assistance

DADS tried to collect this information in late August; however, a technical problem with the survey kept us from doing so. We apologize for any inconvenience caused by this second request.

If you have multiple locations and would like to submit your information in a spreadsheet format, you can use the attached Excel speadsheet as a template.

Questions and the attached spreadsheet can be emailed to


Information Letter Clarification: PHC Providers Should Follow Guidance in IL 15-35

In July 2014, DADS issued Information Letter 14-41 (PDF) related to the move to managed care for some people getting DADS long-term care services. The letter indicated that Day Activity and Health Services would continue to be billed through DADS. This information letter remains in effect for CLASS, DBMD, TxHmL and HCS providers.

However, when Information Letter 15-35 (PDF) was released, it superseded the information in IL 14-41 with regard to the PHC program only. Therefore, PHC providers must adhere to the policy in this letter.

DADS will be issuing a replacement letter for IL 14-41.

Email questions to


DADS Launches Medicaid Re-enrollment Website

DADS Medicaid providers that render services either through Medicaid managed care organizations or traditional fee-for-service Medicaid are required to revalidate their information every 3-5 years. In Texas, the deadline for the next re-enrollment is March 24, 2016.

To help providers better understand this process, DADS has created a Texas Medicaid LTSS Provider Re-enrollment website at The site includes a mailbox to submit questions and an enrollment FAQ. An application fee schedule, provider risk matrix and the reenrollment application will be added to the site as they become available.

Questions can be emailed to


DADS Launches Revised HCS, TxHmL, CLASS, and DBMD Forms

DADS has published the following revised forms related to transportation, transition assistance services (HCS only), and pre-enrollment minor home modifications (HCS only). Please begin using the current versions of these forms during the service planning process. As the agency continues to release new or revised forms, providers will be notified.

Revised forms:

Email questions to


Personal Attendant Wages Increase Sept. 1, 2015

On Sept. 1, 2015, providers must begin paying employed or contracted personal attendants who work in the following programs at least $8 an hour, up from the current $7.86 per hour minimum.

  • Residential care services
  • CLASS habilitation services
  • CMPAS personal attendant services
  • DAHS attendants
  • DBMD residential habilitation, Community First Choice personal assistance services/habilitation (CFC PAS/HAB), chore services, and day habilitation
  • HCS supported home living or CFC PAS/HAB
  • CLASS habilitation or CFC PAS/HAB
  • MDCP respite and Flexible Family Support Services
  • PHC, including Family Care and Community Attendant Services
  • TxHmL community support or CFC PAS/HAB

Newly employed or contracting attendants hired on or after Sept.1, 2015, must be notified of the required base wage level within 3 days of being hired.


Title 40 Texas Administrative Code §§49.312 requires that people working as personal attendants in the services/programs listed above, whether as employees or contractors of a provider or as employees or contractors of subcontractors, be paid at or above a specified minimum hourly base wage. The requirement to pay providers of CFC PAS/HAB, effective Sept.1, 2015, will be addressed in a future rule project.

Questions can be directed to Frank Plummer at 512-438-2188 or


LVN On-Call Pilot Ends September 1, 2015

The Licensed Vocation Nurse (LVN) On-Call Pilot (SB 1857, 82nd Legislature), which allowed LVNs to provide on call services by telephone to individuals receiving services from Home and Community-based Services (HCS), Texas Home Living (TxHmL) and Intermediate Care Facilities for Individuals with an Intellectual Disability or related condition (ICFs/IID) with less than 13 beds, ends on September 1, 2015. Please refer to IL 15-24/PL 15-05 for more detailed information.

Effective September 1, 2015, an LVN may no longer provide on-call telephone services to individuals receiving services in the HCS or TxHmL programs or in an ICF/IID with a capacity of 13 or fewer beds. The LVN scope of practice is a directed scope of practice and requires clinical supervision by an RN, advanced practice registered nurse, physician assistant, physician, dentist, or podiatrist. The provision of on-call telephone services is contained only in the RN scope of practice under the Texas Board of Nursing licensure rules. HCS, TxHmL and ICF/IID providers are required to use RNs for these services.

Please visit the following webpages for information about the nursing scope of practice.


Comments on CFC, HCS and TxHmL Billing Guidelines Due Aug. 28

DADS stakeholders have until Aug. 28 to submit comments on draft billing and payment guidelines for CFC, HCS and TxHmL. Please submit comments to

The guidelines have been updated to clarify providers billing transportation as a waiver service.


Complete the DADS Survey and Self-Assessment by Sept. 1

If your organization provides

  • day habilitation,
  • supported employment or
  • employment assistance,

you must complete a self-assessment and participate in an online survey by close of business Sept. 1, 2015. Click here to begin the survey.

Questions can be emailed to


DADS Seeking Feedback on Draft CFC Transportation Documents

DADS is asking stakeholders to comment on the following DRAFT documents by close of business Aug. 19, 2015. Comments can be emailed to

The DRAFT ILs describe the process by which transportation activities will be billed as a waiver activity and how providers are to include transportation hours on an IPC.

The DRAFT Individual Transportation Plan form is designed to collect information about an individual's transportation needs and use of the transportation service.


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