2000, Contracting

Revision 14-2, Effective November 7, 2014

2100 Contracting Requirements

Revision 14-2; Effective November 7, 2014

Rule: 40 Texas Administrative Code (TAC) Section 98.202(a)(5), Program Overview

If this is the first time a provider has contracted with the Texas Department of Aging and Disability Services (DADS) to provide Day Activity and Health Services (DAHS), the provider must receive service-specific training before any referrals from DADS can be made. If the provider currently has a contract with DADS (for the same service in another region) and has already received orientation, the provider does not have to repeat the service-specific orientation or training again. Documentation indicating orientation has previously been received must be presented to the regional contract manager.

Failure to have adequate staff available to provide services upon receipt of training may lead to contract termination.

The provider maintains a log of complaints and makes review of complaints accessible to the contract manager. The provider must have documentation that it investigated and resolved all complaints within five workdays of receipt of a complaint, including the individual's initials on the individual-initiated complaint or witness's signature when the individual refuses to sign; and submit the complaint findings to DADS within 30 days of receipt of the complaint.

Facilities:

  • must comply with Executive Order 11246, titled "Equal Employment Opportunity," as amended by Executive Order 11375 and supplemented in Department of Labor regulations at 41 CFR part 60;
  • must comply with applicable provisions of the Clean Air Act (42 U.S.C. 7401 et seq.) and the Federal Water Pollution Control Act, as amended (33 U.S.C. 1251 et seq.) if funding under this contract exceeds $100,000;
  • must comply with §231.006, Texas Family Code, which stipulates that the individual or business entity named in the contract, bid, or application, certifies it is not ineligible to receive the specified grant, loan, or payment and acknowledges that the contract may be terminated and payment may be withheld if this certification is inaccurate;
  • are responsible for their behavior, as well as the behavior of their staff and subcontractors to ensure a violence-free contractual relationship. Any remarks, gestures, or actions toward DADS employees, volunteers, and/or individuals who carry an implied threat of any kind, even if intended to be in jest, will be taken seriously and may lead to corrective action, up to and including revocation of the contract; and
  • must comply with advanced directives requirements. See Appendix V, Advance Directives.

2200 Advertising and Solicitation of Individuals

Revision 14-2; Effective November 7, 2014

Resource: Information Letter No. 2011-31, Complaints Regarding Solicitation

2300 General Contracting Requirements

Revision 14-2; Effective November 7, 2014

Provider enrollment is the method of contracting for DAHS services. A legal entity may apply to receive a contract if the legal entity meets the requirements specified in 40 TAC Chapter 49, Subchapter C, Requirements of a Contractor.

DADS does not limit contracting to a particular type of ownership.

A contract assignment must be made for the following reasons (not inclusive):

  • one entity assigns its contract with DADS to another entity,
  • the legal entity changes ownership, or
  • the tax status of the legal entity changes.

2310 Enrollment

Revision 14-2; Effective November 7, 2014

Community Services Contracts in DADS state office enrolls providers in the DAHS program. To have a provider’s enrollment-related questions answered, call 512-438-3550, or write to:

Texas Department of Aging and Disability Services
Community Services Contracts, Mail Code W-357
P.O. Box 149030
Austin Texas 78714-9030

2320 Effective Date of Contract

Revision 14-2; Effective November 7, 2014

Rule: 40 TAC Section 49.209 (h), Standard Contract

2330 Compliance with the Americans with Disabilities Act of 1990

Revision 14-2; Effective November 7, 2014

Because the Americans with Disabilities Act of 1990 (ADA) requires both private and public facilities to be accessible without discrimination, DADS can refuse to contract with a facility that has been licensed but does not meet ADA requirements, even if there are other facilities in the area who do meet ADA requirements.

2340 Participation in the Child and Adult Care Food Program (CACFP)

Revision 14-2; Effective November 7, 2014

To be eligible to participate in the CACFP, an applicant must be a:

  • public institution;
  • private, nonprofit, tax-exempt organization; or
  • proprietary (privately owned, for profit) organization with 25% or more of the participants enrolled at the facility receiving Title XIX and Title XX benefits and attend CACFP Adult Day Care Program Management Training. At least one training session is offered quarterly. To verify participation or application to participate in the CACFP, a provider must submit one of the following documents with its DAHS enrollment application or within 120 days of the effective date of the provider’s contract. Failure to provide this information within 120 days of the effective date of its contract may result in termination of the provider’s contract.

Submit one of the following, depending on a provider’s situation:

  • Department of Agriculture, Form 1653, Child and Adult Care Food Program Agreement Between Sponsoring Organization and Adult Day Care Center; or
  • a copy of the confirmation of the training letter from the Special Nutrition Program (SNP), if the provider is unable to attend a CACFP Adult Day Care training session because it is full. The letter must include:
    • the date that the provider contacted SNP to schedule training; and
    • the date of the training for which the provider is scheduled; or
    • a letter to the Community Care Section in state office stating the date that the provider submitted its CACFP application, if the provider submitted its CACFP application but the application will not be processed by the 120-day deadline.

Mail the above information to the following address:

Texas Department of Aging and Disability Services
Community Care Section
P.O. Box 149030, Mail Code W-521
Austin Texas 78761-9030

For information regarding participation in CACFP or for a copy of the program handbook, the provider may call 877-TEX-MEAL or email squaremeals@TexasAgriculture.gov.

2400 Contract Assignment

Revision 14-2; Effective November 7, 2014

Reference: Form 3254, Community Services Contract (Provider Agreement), Section IV, which states:

  1. Department and contractor mutually agree:
    1. That this contract shall not be transferred or assigned without the prior written consent of the department; .

DADS mails a contract assignment application to the assignor within seven days after receipt of written notification to DADS of the intent to assign a contract.

An example of a contract assignment agreement is found in Appendix I, Assignment of Contracts.

2500 Subcontracts

Revision 14-2; Effective November 7, 2014

Rule: 40 TAC Section 49.308, Subcontracts

2510 Transportation

Revision 14-2; Effective November 7, 2014

A written subcontract is required if the provider has no means of providing required transportation and transportation is provided by a public or private transportation entity. A subcontract is not needed, however, if a public transportation entity provides the service as a part of its usual service to the general public. For example, a provider buys passes for its individuals to ride on a city paratransit service.

A provider may not limit the number of individuals it will transport. Any transportation limits for individuals who use wheelchairs violates a person's rights under the Americans with Disabilities Act (ADA) of 1990 and §504 of the Rehabilitation Act of 1973. On an individual-by-individual basis, however, a provider may refuse transportation services to an individual who is disabled if the provider obtains prior approval from the contract manager.

ADA regulations do not stipulate a mileage radius limit. Additionally, ADA regulations do not establish a maximum time frame for an individual to be in transit when transported to and from the individual's home.

A provider must contact the contract manager to demonstrate that providing services to the disabled individual would cause an undue financial burden or substantially alter the nature of the services of the provider.

2520 Meals

Revision 14-2; Effective November 7, 2014

A provider is not required to obtain approval from the Community Care section if:

  • the provider contracts for the preparation and delivery of meals with a management company; and
  • the Child and Adult Care Food Program has already approved the provider’s subcontract with the management company.

2600 Method of Payment

Revision 14-2; Effective November 7, 2014

A provider may choose to participate in the Attendant Compensation Rate Enhancement option and receive enhanced rates. The Attendant Compensation Rate Enhancement option was introduced to create incentives for increased wages and benefits for community care attendants. The participant and non-participant rates are included on the reimbursement charts. The Health and Human Services Commission (HHSC) Rate Analysis Department is responsible for annually enrolling providers in the Attendant Compensation Rate Enhancement option. The open enrollment period is July 1 through July 31, unless specified by HHSC.

A provider may obtain further information on the Attendant Compensation Rate Enhancement option by contacting:

Texas Health and Human Services Commission
Rate Analysis
Mail Code H-4005
1100 West 49th Street
Austin TX 78756-3101

Telephone numbers can be found at https://pfd.hhs.texas.gov/long-term-services-supports/contact-list. The statewide unit rates are determined by HHSC. Unit rates are based on data obtained from the cost report submitted to HHSC by each individual service contractor.

To find information about HHSC's methodology for setting a reimbursement rate, establishing allowable and unallowable costs, and establishing cost-report requirements, see Appendix II-A, Reimbursement Methodology for DAHS, and Appendix II-B, Cost Determination Process.

The facility may claim reimbursement for one unit of service if three hours, but less than six hours, of service are provided.