M E M O R A N D U M

IM-4 01/25/94 MENTAL HEALTH RESIDENTIAL PERSONAL CARE PROGRAM AND SPENDDOWN


SUBJECT:
MENTAL HEALTH RESIDENTIAL PERSONAL CARE PROGRAM AND SPENDDOWN
DISCUSSION:
The Department of Mental Health (DMH) has recently established the Residential Personal Care Program as a new Medicaid service.  This service provides medically oriented assistance with activities of daily living to certain DMH facility residents, and can be used by Medicaid recipients to meet spenddown.

These services are specified in a plan of care developed for each recipient, and include such activities as assistance with feeding/eating, assistance with an exercise program, individual instruction in order to become self-sufficient in personal care, and application of medications and dressings.

Each service has a specific charge which is listed on the plan of care.  The charges are totaled for one month and then averaged for a daily rate.  This is the method by which Medicaid will pay.  Allow the daily rate amount as an incurred expense to meet spenddown.

DMH will provide the plan of care form, listing the daily rate for each recipient.  Attached pdf file to this memorandum is a facsimile of a typical plan of care.  At the bottom of the form, following the statement "Resulting Fee per Day for Personal Care" is the daily rate amount.  Near the top of the form are the beginning and ending dates for this plan of care.  Assume that the recipient incurs this charge for each day included in the plan.

Note: In order to be used toward spenddown, the daily charge must actually be incurred by the claimant.  Do not project future charges toward spenddown.

For example, the daily rate charge for the sample form (attached) is $6.62.  The beginning date is 09-08-1993.  The ending date of the plan is 06-30-1994.  The claimant applies for Medicaid spenddown on 09-10-93 and has a quarter of September, October and November 1993.  The claimant's spenddown amount is $200.00.  Allow 23 days at $6.62 (September 8 thru September 30) for a total of $152.26 in Residential Personal Care for September.  On October 8, the claimant will have incurred 8 additional days at $6.62 for a charge of $52.96.  $152.26 + $52.96 = $205.22.  Assuming no other charges were claimed, claimant meets spenddown on October 8, 1993.  Do not approve the application before October 8, 1993, as sufficient charges are not incurred until then.
When an application for spenddown is made, obtain the Personal Care Plan form from the DMH case manager.  DMH is responsible to provide the plan of care to Family Services' staff, either by mail or in person.
NECESSARY ACTION:
  • Share this memorandum with appropriate staff.
  • With receipt of this memorandum, begin using Mental Health Residential Personal Care Program services toward spenddown as outlined above.
SBP
Distribution #1

[ 1994 Memorandums ]