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HB 2600 - Supported living cost report

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Section 1

  1. By July 1, 2026, the department shall update the supported living cost report template to comply with federal law and regulations and to facilitate addressing the direct support professional workforce shortage in the supported living industry.

  2. The updates to the supported living cost report template must include, but are not limited to:

    1. Full-time equivalent employee counts for each type of instruction and support services staff, including for each type of specialist staff;

    2. The number of each type of instruction and support services staff, including for each type of specialist staff;

    3. Annual weighted average base hourly wage by each instruction and support services staff type including by type of specialist staff;

    4. Detailed benefit information for each instruction and support services staff type including, but not limited to:

      1. Average annual amount of employer portion of medical, dental, vision, and life insurance, disaggregated by type;

      2. Average annual amount of employer contributions to employee retirement benefits; and

      3. Annual amount, in days or hours, of employer-paid time off disaggregated by type including but not limited to sick leave, paid time off, vacation leave, holidays, and bereavement leave; and

    5. Disaggregated revenue line items including but not limited to revenue by client tier, and any nonmedicaid revenue.

  3. The department may consult with the work group established in subsection (4) of this section when updating the supported living cost report template.

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    1. A supported living work group is established, with the following members:

      1. The secretary of the department, or the secretary's designee;

      2. Three supported living providers, with at least one nonprofit and one for-profit provider, from the top five supported living providers, as determined by the number of medicaid clients served during the previous fiscal year according to the most recent cost report available to the department, appointed by the governor;

      3. A representative from an organization not affiliated with a supported living provider representing people with intellectual, developmental, or physical disabilities, appointed by the governor; and

      4. Three representatives, with at least one direct support professional, from the union representing the largest number of direct support professionals under state-contracted services, appointed by the union.

    2. The work group shall develop supported living medicaid rate recommendations to promote equitable compensation for direct support professionals. In developing its recommendations, the work group shall consider, at a minimum, requirements on how supported living providers must use the instructional support services rate to improve compensation for direct support professionals. Recommendations may include penalties for providers who fail to demonstrate compliance with recommendations made in this section.

    3. The department may contract with a private entity to provide data analysis of the information submitted by work group members as necessary to inform the work group's development of wage investment proposals described in (b) of this subsection.

    4. The department shall provide administrative and logistical support for the work group, including scheduling, facilitation, and preparation of materials.

    5. The department shall issue a final report to the appropriate committees of the legislature by December 1, 2026. The report must include findings and recommendations for direct support professional wage investment proposals described in (b) of this subsection.

  5. For the purpose of this section:

    1. "Direct support professional" means any person who supports an individual with a developmental disability to implement the individual's individual support plan or person-centered service plan. This includes staff who provide instruction and support services. A direct support professional does not include managers or individuals functionally providing above the first level of supervision; and

    2. "Supported living provider" means any organization providing supported living services as described in RCW 71A.10.020.

  6. This section expires September 1, 2028.

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