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Drug testing is not required in the
Agency Option or in the VFI Option. It is an option that the employer can choose. The cost can
be budgeted and reimbursed as an “ADMIN” (administrative) cost. An employer should research
the legal implications of drug testing prior to using this with applicants or employees. The Equal
Employment Opportunity Commission (EEOC) and/or the EEOC web site may be a resource on
this issue (www.eeoc.gov).
Will the VFI pay for the attendant to participate in drug testing? The VFI will reimburse
allowable employment-related expenses when a “paid” receipt or an invoice is submitted. The
cost must be budgeted. The VFI makes the payment from the participant’s budget.
Will the VFI cover the cost of covering an attendant under homeowners insurance? The
cost of the additional coverage is reimbursable as an allowable administrative expense. The cost
is covered from the participant’s budget. See the VFI Option Pre-Decision Packet for more
information. This applies to homeowner’s insurance and to renter’s insurance coverage.
[Only the amount charged for the additional coverage is reimbursable.
For example: (1) The current insurance policy premium is $400 per year. (2) The new
premium with the additional liability coverage is $450. (3) Only the $50 additional expense
may be reimbursed. The amount must be within the budget and may be paid to the
insurance company from an invoice or reimburse the consumer from a ‘paid’ receipt. The
reimbursement is prorated based on the ISP effective period. The amount beyond the ISP
effective period may be reimbursed during the next ISP period if participant is in the VFI
Option and the expense is budgeted.]
Under the VFI is drug testing of attendants required?
If there is a discrepancy in the number of hours an attendant is paid and the number that
should have been paid, who is responsible?
Each timesheet must be signed by the
employee and the employer to ensure accurate recording and reporting of time worked. The
timesheet is submitted to the VFI for payment. If the VFI made an error, the employer contacts
the VFI for correction/resolution. What state agency can the attendant report the problem
to? Any employee, not just in the VFI Option, may contact the Wage and Hour Division of the
Department of Labor when a payroll dispute is not resolved with an employer.
Who pays for unemployment?
The VFI withholds unemployment taxes from the
employees’ checks each pay period. The VFI deposits the taxes with the Texas Workforce
Commission (TWC). An ex-employee files for unemployment compensation with TWC in the
same manner any ex-employee of any employer does. The employer’s tax rate will change based
on unemployment claims filed against his TWC account. The VFI must calculate the employee
and employer tax rates for all taxes prior to an hourly rate of pay being set.
Can participant/guardian receive VFI information via email? VFI Option information, to
include manuals and updates, will be available on the DHS web site during the month of
September. The web site is available to provider agencies, participants, and the general public.
The VFI can also provide the information electronically.
Does the DSA get $80.00 a month because they are the DSA of a VFI participant?
Agencies are reimbursed for services delivered. There are no retainer-type fees paid to any
provider agency. The DSA continues to provide all direct services except PAS and Respite to a
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CLASS participant that is in the VFI Option; the DSA is reimbursed for direct services
delivered/billed.
8.
Can the participant receive a spreadsheet to determine how much will be available before
they decide to go into the VFI Option?
The spreadsheets are included in the VFI Option
Post-Decision Packet and on the web site, along with all information about the option. The
spreadsheets may be calculated manually. In Microsoft Excel, the amounts available are
automatically calculate when the number of authorized units and the rate are entered.
9.
How will the case manager factor in the hours in the ISP for the DSA to attend IDT
meetings for a VFI participant? The IDT determines the number of units for the DSA to
attend meetings and enters those units into the ISP in Service Code 10.
10.
Who is responsible for contracting for camp under the out-of-home respite services? The
participant assumes all responsibilities for contracting out-of-home respite providers. The
participant must ensure that the out-of-home service provider meets the requirements of
the CLASS waiver program; otherwise, reimbursement will not be made to the provider.
A camp utilized for Out-of-Home Respite MUST be accredited by the American Camping
Association (ACA) to qualify as a CLASS out-of-home respite provider.
[Questions 1 –10: UCP/Tarrant County]
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Does the 7.5% employer tax come out of the participant’s budget? Yes; see definitions for
employee compensation/“wages and benefits.” Every employer, regardless of the type of
business, pays employment-related taxes. The employer tax rate is calculated by the VFI; the tax
is paid from the budget.
Is the participant responsible for rules related to the VFI Option?
Yes the participant
has responsibility for complying with the rules specific to the “Consumer.” The rules are included
in the Post-Decision Packet as an appendix to the Service Agreement with the VFI Agency. The
rules are also available on the web site or from a CLASS provider agency. The participant is
responsible and accountable for the rules specific to the participant (guardian)/consumer. The
VFI is responsible and accountable for the rules specific to the VFI, the agency contracted with
DHS to provide VFI services.
How is workers’ compensation handled? There are various options related to addressing
employee injuries in the materials provided regarding the VFI Option. Each participant should
address the issue with his insurance agent to determine types of coverage that are available. If
additional coverage is added to an existing insurance policy, the additional cost can be paid
through the budget. Participants could approach an agent about receiving discounted policies
based on several individuals taking policies at the same time. (See question #3 above.)
Payroll Definitions include “paid claims” under Workers’ Compensation. What are “paid
claims”? “Paid claims” are the medical expenses incurred as a result of an employee injury that
are not covered by another source (insurance, Workers’ Comp, etc.). The per cent of the budget
that can be used to cover these types of expenses is limited. The employer is responsible for the
risk and the coverage of employee injuries. The employer has sole liability for his employees. The
participant or his guardian is the employer of record in the VFI Option. The budget may need to be
recalculated periodically as expenses are incurred.
The maximum amount allowed for
administrative expenses can not be exceeded and the VFI is not authorized to make payments or
be reimbursed above of the maximum amount.
How is transportation handled in the VFI Option? The employer makes this decision. The
employee has to be willing to assume the responsibilities related to his role in transporting the
participant. The same justification for using transportation in the Agency Option (based on need
as identified in the ISP, etc.) is also applied in the VFI Option. The employee must have a valid,
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current Texas driver’s license. The owner of the vehicle (employee or employer) should consult
with their insurance agent to determine liability and to make sure the insurance policy covers the
driver and passenger in an employment/business-related arrangement. These are the same
issues an agency or another employer should review.
16.
What money can come out of the participant’s pocket with out being reimbursed to keep
wages higher? Only “administrative” costs can be incurred without reimbursement. As the
employer, any compensation, wages and/or benefits, paid outside of the budget is subject to
employment-related taxes and reporting. The money (income) used to pay for expenses ‘out of
pocket’ may be subject to income taxes and may also be considered ‘income’ in determining
Medicaid eligibility for the participant.
[Questions 11 – 16: Girling CMA/Dallas]
17. CLARIFICATION: Items #5 and #1: Who pays for unemployment?
 Income tax, social security, and Medicare is withheld from the employee’s pay and deposited
by the VFI with the appropriate government agencies. State (SUTA) and/or federal (FUTA)
unemployment taxes are NOT withheld from the employee's pay.
 The cost/percent of payroll for unemployment tax starts out the same for all new employers.
The cost/percent of payroll will vary based on each individual employer’s experience rate. The
cost of the unemployment taxes is part of the payroll & tax budget and comes from the
participant's budget. The VFI handles the reporting and payment/deposits to the appropriate
state and federal entities.
 Once certain initial thresholds are reached, FUTA is usually .008 on the first $7000 of salary.
Currently new employer's pay SUTA of .027 on the first $9000 of salary and then the rate
changes depending on unemployment claims.
 For current rates and payment/deposit schedules see the TWC (www.twc.state.tx.us) and IRS
(www.irs.gov) web sites.
18. What is the division of the withholdings that are made in payroll?
 The employer is pays (from the participant’s budget) 1/2 of the social security, 1/2 of the
Medicare, and 100% of the SUTA and FUTA that is deposited by the VFI with government
agencies.
 The employee pays (withheld from the employee’s paycheck) 1/2 of the social security, 1/2 of
the Medicare, and 100% of the federal income tax. The amounts are withheld from the
employee’s pay and deposited by the VFI with government agencies.
19.
Does the “employer of record” status jeopardize/compromise an individual’s eligibility for
any of their services and/or their assistance (SSI, etc.) by becoming an employer? The
participant does not receive any financial benefit by being an employer. The funds used in the
VFI Option are not considered income for the participant. The participant does NOT jeopardize or
compromise eligibility for services or benefits for which they otherwise are qualified to receive.
20.
Who signs the “Employee Relationship to the VFI Participant Acknowledgement Form”?
What is meant by “relationship” of the signature?
The employer of record signs and
indicates relationship to the participant: Self (Participant), Parent (of minor), Guardian (of an
adult), etc. If there is a Designated Responsible Party, the individual signs and indicates
relationship to the participant: friend, parent (of adult participant with no guardianship), spouse,
sibling, etc. This indicates that the employer of record and (when applicable) the Designated
Responsible Party have acknowledged who can and who can not be the “employee” for the
participant in the VFI Option.
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