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Minimum Wage Senate Bill 3 Impact Surveys

October 27, 2016

The Fee-For-Service Rates Development Division (FFSRDD) of the Department of Health Care Services (DHCS) requests the participation of Long Term Care (LTC) providers in completing the Senate Bill (SB) 3 Minimum Wage Impact Survey before January 16, 2017. DHCS is administering this survey pursuant to its authority as the single state agency administering the Medi-Cal program under California Welfare and Institutions Code (W&I Code), Section 10740. The information gathered by this survey will be used in a labor study conducted by DHCS to provide accurate reimbursement.

SB 3 sets forth a schedule for phased increases in the minimum wage from $10.50 per hour to $15 per hour over seven years, depending on the size of the employer and general economic conditions. It also links the minimum wage to the U.S. Consumer Price Index (CPI) once the minimum wage reaches 15 per hour. SB 3’s minimum wage increases will significantly increase provider labor costs, increasing Medi-Cal reimbursement expenditures. Pursuant to California’s Medicaid State Plan (Title XIX), FFSRDD will provide an add-on to Medi-Cal LTC provider facilities’ per-diem reimbursement rates.

Participation in this survey is encouraged. The intent of this survey is to collect information for the purpose of providing accurate reimbursement and not to pose an undue administrative burden on employers. Completed surveys are for internal use only and will not be shared outside of DHCS. FFSRDD shall, upon request, inform interested survey respondents of the location of their records and the staff who have access to survey information. FFSRDD shall, upon request, make available to any interested respondents a copy or copies of their submitted data. The FFSRDD contact person for questions regarding this survey is:

Ryan Herche
Chief, Long Term Care System Development Unit
Fee-For-Service Rates Development Division
Department of Health Care Services
PH: (916) 552-9661

Please refer to the Senate Bill (SB) 3 Minimum Wage Impact Survey Instructions (PDF) and Job Title Descriptions (PDF) documents for important information before you complete the survey. If you are not the person in your organization responsible for completing the survey, please forward the survey link and instructions to the appropriate staff. The survey will be open through January 15, 2017.

Ripple Effect Survey
In addition to the direct impact of SB 3, FFSRDD is interested in studying the indirect impact of the minimum wage increase’s “ripple effect” on workers earning slightly above minimum wage. To capture the true impact of the ripple effect, FFSRDD requests that each facility complete the SB 3 Ripple Effect Survey (Excel) to report all employees that made $13.01 – $21 per hour during the pay period from April 1, 2016, through June 30, 2016. In order for DHCS to effectively analyze this information, the Excel document must be submitted electronically to the Long Term Care System Development Division at supp1629@dhcs.ca.gov or LTCReimbursement@dhcs.ca.gov (Intermediate Care Facilities for the Developmentally Disabled [ICF-DDs] only), with subject line: “SB 3 Ripple Effect Survey,” no later than January 15, 2017.

If you are unable to submit the Excel document electronically, please mail a signed copy to:

Department of Health Care Services
Fee-For-Service Rates Development Division
Long Term Care Section
SB 3 Ripple Effect Survey
P.O. Box 997417, Suite 71.3052, MS 4600
Sacramento, CA  95899-7417

Contact Us
For questions or concerns, providers may contact the Long Term Care System Development Unit at supp1629@dhcs.ca.gov or LTCReimbursement@dhcs.ca.gov (ICF-DDs only). Requests should be submitted with subject line: “SB 3 Wage Impact Survey”. Providers can also visit the Long-Term Care Reimbursement AB 1629 page or Long Term Care Reimbursement page of the DHCS website for updates regarding these surveys.


The respondent is responsible for providing accurate and reasonable information in the surveys.  DHCS will review all survey responses for accuracy and reasonability and will exclude any surveys or information determined to be erroneous or incomplete. The responsibility for the integrity of the information submitted rests upon the party providing the information and not DHCS. DHCS reserves the right to verify information provided if questions arise about integrity or accuracy of the data submitted. Please respect and comply with all relevant privacy laws when answering questions in this survey. Refrain from providing unnecessary detail or information that may compromise privacy.