Subject


1. The Emergency Rules take only the actions necessary to ensure that essential services will be continuously provided for the remainder of the fiscal year to protect the vulnerable individuals with developmental disabilities served by the Agency for Persons with Disabilities (“APD”), as mandated by the Legislature. 2. The Emergency Rules include only those actions necessary to bring APD’s costs down to accommodate its current appropriation. 3. No individual will be removed from the waiver program, nor will any services be suspended, terminated, or reduced, as a result of the Emergency Rules. Instead, in accordance with the Legislature’s objective, the Emergency Rules will be used to ensure all individuals on the waiver can continue to receive their current authorized services through the end of FY 2010/11. 4. Every waiver provider has entered into a contract with APD. Waiver-service providers supply services to clients according to this contract. 5. Every contract between a waiver service provider and APD contains the following clause: The Provider agrees: ... [t]o accept payment for goods and services at rates periodically established by [the Agency for Healthcare Administration “AHCA”)] and APD. The most current rates are available on APD web site: www.apd.myflorida.com/providers. The signatories recognize that APD is limited by appropriation and acknowledge that Florida law requires AHCA and APD to make any adjustment necessary to comply with the availability of moneys and any limitations or directions provided for in the General Appropriations Act, including but not limited to adjusting fees, reimbursement rates, lengths of stay, number of visits, or number of services, or limiting enrollment. 6. Waiver providers voluntarily entered into their contracts with APD and have acknowledged in each contract that the Agency for Health Care Administration and APD may make adjustments to rates to comply with the availability of monies. 7. AHCA and APD have acted expeditiously to address the emergency described in the Statement of Specific Facts and Reasons for Finding an Immediate Danger to Public Health, Safety, or Welfare, and have afforded fair notice and process to interested parties. 8. Prior to February 2011, APD reported a projected deficit for FY 2010/11 to be between $30 and $40 million. A fiscal year deficit in the $30 to $40 million range could have been addressed by APD without the need for emergency action, and had been so addressed in previous fiscal years. 9. A subsequent audit of APD’s financial position revealed that APD was facing a much larger deficit than had been previously reported. On February 22, 2011, Governor Scott announced in a press conference that APD’s projected deficit was at least $100 million and called on the Office of the Chief Inspector General (the “C1G”) to conduct a comprehensive investigation of the agency’s finances to determine the true extent of the projected deficit. The CIG report, released on March 31, 2011 ultimately concluded that APD’s FY 2010/11 deficit is greater than $170 million. 10. Subsequent to the Governor’s public announcement of APD’s current-year fiscal crisis, APD and the Governor’s staff have met with provider groups, family members, and advocates for the disability community to discuss the seriousness of APD’s financial condition and the need to reduce spending on waiver services. 11. Several provider groups have provided APD and Governor’s office personnel with recommendations to reduce waiver spending for FY 2010/11 and FY 2011/12. 12. On March 16, 2011, APD and AHCA received and considered a plan from the Florida Association of Rehabilitation Facilities (“FARF”), a trade organization that represents many waiver-service providers. This plan outlined FARF’s recommendations on how to solve the problems created by the budget shortfall. 13. On March 24, 2011, APD conducted a meeting and conference call with the waiver service providers, including waiver-support coordinators who represent the interests of APD clients. During this meeting APD received input from the waiver-service providers, including waiver-support coordinators, on how best to solve the problems created by the budget shortfall. AHCA considered the input from the waiver-service providers and waiver-support coordinators in the promulgation of these Emergency Rules. 14. Except as required by Section 120.54, Florida Statutes, the Emergency Rules are not intended to remove, nor do they remove, any procedural rights required by the Due Process Clause of the United States Constitution, the United States Code, the Code of Federal Regulations, or Chapter 120, Florida Statutes. 15. The procedure used in the Emergency Rules is fair under the circumstances because each waiver-service provider acknowledged at the outset of its relationship with APD that AHCA or APD may make adjustments to reimbursement rates to comply with availability of monies, because APD conducted a meeting to gather input from waiver service providers and waiver-support coordinators on the issue of the budget shortfall, because APD received and considered a plan submitted by a trade group that represents many of the waiver-service providers, and because the Emergency Rules do not remove any procedural safeguards otherwise available to waiver-service providers except as provided by Section 120.54, Florida Statutes. 16. The Emergency Rules as adopted will be effective only through June 30, 2011, and will not be renewed.