Good Morning,
My name is Marietta Cottingham. I am one of the Assistant Executive Directors of Serenity C&C, Inc. in Tidewater and Central Virginia. Our company provides Sponsored Residential Support to approximately one hundred-ten adults and children We also provide Day support, Community Engagement, Out of Home Crisis Intervention and Applied Behavior Analysis. We have other programs under development. am here today representing the Tidewater Area, members of the Virginia Sponsored Residential Provider Group. The Virginia Sponsored Residential Provider Group represents over 75 agencies which provide this professional residential service in integrated settings throughout the Commonwealth. This morning I want to comment briefly on the Proposed Rates.
Surveys by the Department of Justice and others have shown that individuals served in Sponsored Residential homes have more positive health and quality of life outcomes, are valuable and contributing members of the community, and that a large percentage of those receiving these services have exceptional medical or behavioral support needs. Over 80% of the individuals receiving Sponsored Residential Services need medical and/or behavioral.
Current rates are inadequate. The numbers of Direct Support Professionals available for employment have declined significantly in recent years. Unless rates enable Sponsored Providers to offer salaries competitive with other service models and competitive with state agencies who employ personnel with similar skills, the individuals who, are clearly benefitting from the Sponsored Residential model, will find no placements available in Sponsored Residential homes.
Sponsored Residential Providers (DSPs) are responsible for providing support 24 hours a day, seven days a week. The reimbursement they receive must be sufficient to make this employment attractive and financially sustainable.
Nationally and across the commonwealth the cost of food, fuel, clothing, and shelter has increased between 16% and 20%. Sponsored Residential Providers have to absorb these increases. The proposed rates will not even bring the industry up to where it was two years ago in terms of real dollars.
The New Rates must recognize:
The rate model proposed by Burns & Associates did not meet all of these criteria. The final rate model proposed an average increase of 16.2%, or 3.7% over the temporary 12.5% ARPA Rate that was approved by the Senate and House. This temporary increase runs out June 30 of this year. The Governor’s Budget did not include the total recommended rate through the rate study and proposes an average increase of 12.8% or .3% over the temporary ARPA Rate. We are requesting that at a minimum the rates for sponsored residential be increased by an average of 16.2% as recommended in the rate study completed by Burns & Associates.
Thank you for the opportunity to present this recommendation. It is my hope it will be followed.