Commission Meeting Materials May 9, 2017 9:00 A.M. - Vocational Rehabilitation Standards

1 Vocational Rehabilitation Standards for Providers Chapters 2 and 3: Obtaining a Contract 2 for Goods or Services and Basic Standards 3 4 Discussion Paper

5 Background 6 Texas Workforce Commission (TWC) Vocational Rehabilitation (VR) Services (TWC VR) must 7 have written and enforceable standards to ensure that customers receive reasonable, necessary, 8 and high-quality services from providers that deliver services to VR customers to assist them in 9 achieving their employment goal. These providers are defined in federal law and regulation as 10 community rehabilitation programs. (34 CFR 361.5 (7)) This broad definition of providers 11 includes those that provide both good and services, such as assessments and evaluations, 12 rehabilitation technology, personal assistance services, supported employment services, job 13 development, placement and retention services and orientation and mobility services. For the 14 purposes of this definition, the word program means an agency, organization, or institution, or 15 unit of an agency, organization, or institution, that provides directly or facilitates the provision of 16 vocational rehabilitation services as one of its major functions. 17 18 TWC VR pays providers for services rendered to VR customers based on rates adopted by the 19 agency. Providers are procured through open enrollment solicitations and receive zero-based 20 contracts which do not commit the agency to a specific total dollar amount or to a set number of 21 referrals. When an open enrollment solicitation is required to secure sufficient providers to 22 deliver services to customers across the state, TWC VR uses the Electronic State Business Daily 23 (ESBD), maintained by the Texas Comptroller of Public Accounts, to solicit providers for VR 24 services. Open enrollment contracts are then executed with providers who meet the requirements 25 of the solicitation and agree to provide services in accordance with their contract and the TWC 26 Vocational Rehabilitation Standards for Providers Manual (Standards Manual), which is 27 incorporated into the contract by reference. The agency may modify the standards or develop 28 new standards at any time. Providers are notified of changes to the Standards Manual when they 29 are posted on the agency website 30 days prior to becoming effective. Providers may elect to 30 continue provision of services based on the revised Standards Manual or may notify the agency 31 of their intention to terminate their contract. 32 33 Issue 34 Currently, the divisions for Blind Services and Rehabilitation Services have separate Standards 35 Manuals. A single Standards Manual is being developed in anticipation of the combination of the 36 two divisions by October 1, 2017. As the manuals are combined, staff is identifying needed 37 revisions to both policy and procedure to align program operations and provide needed 38 clarification of terms, expectations and performance requirements. 39 40 Proposed policy revisions for Chapters 2 and 3 are included in this discussion paper. 41 42 Chapter 2: Obtaining a Contract for Goods or Services, describes the terms and processes related 43 to the following: 44  Applications 45  Standard Terms and Conditions for Customer Service Contracts 46  Data Security and Confidentiality

DP_VR SFP Chapters 2 and 3_April 20, 2017 1 1  Service Provider Orientation 2  Contract Renewals 3  Contract Amendments

4 Chapter 3: Basic Standards, addresses the business practices, processes, and policies necessary 5 for TWC and the contracted provider to comply with federal, state, and agency laws, rules, and 6 requirements. The Standards for Providers Manual informs providers about the requirements for 7 compliance and performance.

8 Proposed policy and procedure revisions to these chapters in the combined Vocational 9 Rehabilitation Services (VRS) Standards Manual include additions and clarifications to: 10  Establish consistent definitions and requirements for timely submission of invoices, 11 documentation, customer satisfaction surveys, self-evaluations, use of subcontractors, service 12 modifications, temporary waivers of credentials, and whether and how a former VR 13 employee may work for a provider. 14  Include standards for the Independent Living Services for Older Individuals Who Are 15 Blind (ILS-OIB) program. 16  Clarify required policies and procedures, including which VR procedures and policy 17 applies to the different types of contracts, including services and goods contracts. 18  Align and clarify the contractor’s director qualifications, roles, and responsibilities , and 19 clarify who serves as the legal representative for a provider. 20  Require general or business liability insurance for both facility-based and non-facility 21 based providers. 22 23 Policy Recommendations 24 To ensure uniform standards and consistent delivery of quality services, staff recommends 25 approval of the following revisions, to be included in Chapters 2 and 3 of the VRS Standards for 26 Providers Manual: 27 28 New for All Providers 29 30 1. Require the provider’s director to be responsible for: routine communication; compliance 31 issues; ensuring staff qualifications; supervision of staff and sub-contractors, if any; and 32 ensuring the entity meets requirements in the bi-lateral contract, Standards for Providers and 33 service authorizations. 34 2. Require each contractor to have general or business liability insurance coverage that protects 35 customers, employees, and visitors when the contractor conducts business in a building it 36 owns, leases, or uses in kind while providing services to VRS customers. 37 38 New for Blind Services Providers 39 40 3. Address use of subcontractors by TWC contractors by requiring that: 41  Sub-contractors accept liability and retain responsibility for the performance of sub- 42 contractors who provide services under the terms of the entity’s contract. Sub- 43 contractors providing services under the contract shall meet the requirements and 44 qualifications required in the Standards.

DP_VR SFP Chapters 2 and 3_April 20, 2017 2 1  No sub-contract will relieve the entity of the responsibility of ensuring the contracted 2 services are provided according to the Standards. 3  The contractor accepts responsibility for compensating any party with whom they 4 enter into a sub-contract relationship. 5 4. Identify the requirements that a provider must follow with respect to customer satisfaction 6 surveys and the provider’s self-evaluation. 7 5. Require providers to complete a Contract Modification form and approval by the VR 8 Division Director prior to the service being provided. 9 6. Establish that, to prevent the real or apparent conflict of interest, a former employee may not 10 work for a provider for at least 12 months after the separation, unless the provisions of Texas 11 Government Code §572.069 apply to the former employee, in which case the former 12 employee may not work for a provider for at least 24 months after separation. 13 14 Procedural changes 15 The following procedural revisions are also included in Chapters 2 and 3 of the VRS Standards 16 for Providers Manual: 17 18 New for All Providers 19 20  Addition of commonly used terms and definitions.

21  List services and goods under the categories of either “Service Contract” or “Good and/or 22 Equipment Contract.”

23  Clearly distinguish requirements for “Service Contract” and “Good/Equipment Contracts”

24  Updated description of the policies and procedures the contractor must maintain to protect 25 customers, customer’s interest, visitors and staff of the entity.

26  Clarify required elements for a complete invoice.

27 New for Blind Services Providers

28  Addition of ILS-OIB references throughout chapters to clarify which policies apply to this 29 program.

DP_VR SFP Chapters 2 and 3_April 20, 2017 3