New York State Partners with Public Partnerships LLC to Deliver CDPAP Services
Background
On Monday, Governor Kathy Hochul announced that Public Partnerships LLC (PPL) will partner with New York State to deliver quality services for home care users and support caregivers through the Consumer Directed Personal Assistance Program (CDPAP). CDPAP offers life-saving home care to around 250,000 elderly and disabled New Yorkers.
Spending and Reforms
CDPAP spending could hit $9 billion this year, with over 600 fiscal intermediaries (FIs) representing a significant chunk of the pie. Hochul’s office stated that New York cannot sustain such spending, so reforms targeted FIs. Hochul’s position is that FIs are middlemen who take fees and process payments without providing care or even supervising caregivers.
Criticism and Advocacy
The decision drew months of criticism from disability advocates like the New York Association on Independent Living (NYAIL), Caring Majority Rising, the New York State Independent Living Council, the Center for Disability Rights, and the National Domestic Workers Alliance. They kicked off a week of action against Hochul on Tuesday, decrying the move to a single FI as a $500 million cut to CDPAP.
Partnership Details
The partnership starts by mid-2025, and PPL plans to move its national headquarters to New York, creating over 1,200 jobs while supporting CDPAP caregivers already working here. However, NYAIL notes that, while those 1,200 jobs represent new positions for the out-of-state contractor, the overall job impact would see over 600 FIs, which they characterize as community-based employers, going out of business.
Transition Process
Aiming to satisfy the needs of different cultures and languages, state officials and representatives will meet with CDPAP users, aides, and advocates over the next few months. To maintain open access to medical care, they will work with PPL and more than 30 regional home care agencies, including Chinese American Planning Council, Concepts of Independence, Inc., Angels In Your Home, and CDChoices.
Reforms and Regulation
Reforms were supposed to improve the regulation of the FI system to make sure that care reached those who needed it, while taxpayer Medicaid money got used as intended. For an example of the state cracking down on fraud in the system, Hochul’s office pointed out two agencies, heavily involved in CDPAP, that allegedly stole 25,000 employees’ wages and defrauded Medicaid.
Criticism of PPL
Criticism of PPL includes allegations of mismanagement and wage theft of home care workers in other states, disrupting services, and spiking costs. According to critics:
- PPL was linked to Medicaid fraud, including a caregiver who defrauded Virginia of $350,000
- 20,000 Pennsylvania home care workers went unpaid, costing the state $7 million annually
- Workers reported payroll errors after a problematic launch in Washington
- PPL issued numerous incorrect checks in Oregon
- Individuals were denied essential services in New Jersey
- PPL delayed service in Tennessee
- PPL got the worst customer satisfaction ratings among providers in Colorado
- PPL left many caregivers unpaid in Massachusetts when transitioning into a single management system
Conclusion
The partnership with PPL aims to provide quality services for home care users and support caregivers, but critics have raised concerns about the potential negative impact on local care and the company’s track record. The state will need to ensure that the partnership benefits New Yorkers and does not compromise the quality of care.
FAQs
Q: What is CDPAP?
A: CDPAP offers life-saving home care to around 250,000 elderly and disabled New Yorkers.
Q: What is the partnership between New York State and PPL?
A: The partnership aims to deliver quality services for home care users and support caregivers through the Consumer Directed Personal Assistance Program (CDPAP).
Q: What are the concerns about PPL?
A: Critics have raised concerns about PPL’s track record of mismanagement, wage theft, and disrupting services in other states.
Q: Will the partnership affect local care?
A: Critics have raised concerns that the partnership could compromise the quality of local care and lead to job losses for community-based employers.
Q: What are the reforms aimed at achieving?
A: The reforms aim to improve the regulation of the FI system to ensure that care reaches those who need it, while taxpayer Medicaid money is used as intended.
