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Rate Changes due to Minimum Wage Increase, Effective January 1, 2019

Post Date:January 11, 2019

Vendors of the ELARC may now begin submitting worksheets to request a rate adjustment as a result of the 2019 minimum wage increase.  The worksheet, along with the instructions, were posted on the ELARC website today.  This applies to vendors whose rate was originally set through negotiations between the vendor and the ELARC and who have any employees paid less than $12.00 an hour for employers with 26 employees or more and $11.00 an hour for employers with 25 or fewer employees.  Additionally, please re-read the notice dated January 7, 2019 for additional information and instructions. Access the worksheet and other required forms here.  Carefully, read the instructions for completing the forms and to find out other supporting documents you must submit.

The rate adjustment must be specific to the unit of service that is affected by the new minimum wage and shall only include those costs necessary to increase an employee’s actual hourly wage to the new minimum wage and associated mandated employer costs; e.g., Social Security, Medicare, workers’ compensation.  Please submit rate adjustment requests by March 1, 2019.

ELARC providers that have the following services do not need to complete the worksheet.  ELARC will automatically adjust rates based on the rate calculation data on file.

Service Code 093, Parent-Coordinated Personal Assistance

Service code 405, Day Care Family Member

Service Code 455, Participant Directed Day Care Services – Family Member

 All vendors whose rates are adjusted will receive an Authorization to Purchase Services that reflect the new rate effective January 1, 2019.  Should you have any questions or need additional information about these increases and claim procedures contact your purchase of services representative.  For any questions regarding rates set through negotiation please contact Martin Cogan at (626) 299-4849 or mcogan@elarc.org.