California Department of Social Services - State Hearings Division
Notes from the Training Bureau - December 10, 1996

Item 96-12-02F
CDSS ACL 96-55 -- September 24, 1996 (Synopsis): How Federal Minimum Wage Increase Impacts In Home Supportive Services (IHSS)

Effective October 1, 1996, the federal minimum wage increased from $4.25 an hour to $4.75 an hour. For IHSS recipients who have an individual provider (IP), there is no change in the maximum number of IHSS hours they can receive. That is, a non-severely impaired individual, who is not eligible for the Personal Care Services Program (PCSP) may still receive a maximum of 195 hours of IHSS monthly. A severely impaired individual serviced by an IP may still receive a maximum of 283 hours of IHSS per month.

The amount of income the IP may receive will increase because of the minimum wage increase. Generally, an IP who provides 195 hours of IHSS for a nonseverely impaired individual may now receive $926.25 (i.e. 195 hours x $4.75 an hour). Generally, an IP who provides 283 hours of IHSS for a severely impaired individual may now receive $1344.25 (i.e. 283 hours x $4.75 an hour).

Note: There is no dollar maximum limit for individuals receiving IHSS benefits under the Personal Care Services Program (PCSP). Thus a severely impaired PCSP recipient may receive as many as 283 hours of IHSS even if the provider is paid more than $4.75 an hour.

IHSS recipients who are not eligible for PCSP reimbursement and who are served by modes of delivery other than the IP mode (such as a contract provider or county employer) may have their hours of IHSS limited as follows:

For a non-severely impaired individual (who is not eligible for PCSP reimbursement) 195 hours x $4.75 = $926.25 ¸ hourly cost of mode of delivery.

For a severely impaired individual (who is not eligible for PCSP reimbursement) 283 hours x $4.75 = $1344.25 ¸ hourly cost of mode of delivery.

Thus, if a severely impaired individual, who is not eligible for PCSP reimbursement had an assessed need of 283 hours of IHSS and had a contract provider who charged $10.00 an hour, that recipient would receive 134.42 hours of IHSS (283 x $4.75 = 1344.25 ¸ $10.00 = 134.42 hours).