In Texas, many individuals rely on long-term services and supports to help with daily activities, allowing them to live in their own homes and communities. While many people receive these services through an agency that hires, trains, and pays staff, there is another option: Consumer Directed Services (CDS).
What is the Consumer Directed Services (CDS) Option?
The Consumer Directed Services (CDS) option puts you in control. Instead of an agency managing your care, CDS allows you or your representative to self-direct your services. You effectively become the employer of your staff, giving you the power to make important decisions about how you receive your care.
Even with this option, you still receive the same services and continue to work with your case manager or service coordinator.
The Freedom and Responsibility of Being a CDS Employer
As a CDS employer, you gain significant freedom and flexibility in managing your care, working within your program’s guidelines.
Your responsibilities include:
- Hiring Staff: You choose who you want to hire. This can even include eligible family members or other people you know and trust.
- Managing Staff: You set their work schedules, assign their duties, and train them on how you want your tasks to be completed.
- Setting Pay: You decide how much to pay your staff and are responsible for approving their timesheets. Many CDS employers find they can offer a higher wage than an agency.
- Offering Benefits: You have the option to offer benefits like pay raises, bonuses, health insurance, or paid time off.
How Your Budget and Finances are Managed
While CDS provides flexibility, you are responsible for planning and tracking your CDS budget, which is based on your authorized service plan. Don’t worry—you’re not alone in this.
You will receive support from a Financial Management Services Agency (FMSA) of your choice. The FMSA provides ongoing training and helps with your employer responsibilities.
Your FMSA will:
- Process your payroll and handle staff timesheets.
- Ensure the staff you hire are qualified to work for you.
- Register with the IRS and Texas Workforce Commission as your employer agent.
- Calculate, withhold, and file all employer-related taxes for you.
Getting Help with Your Duties
If you need help with any of your employer duties, you can appoint a Designated Representative (DR). For example, if you are comfortable training staff but need help monitoring your budget, you can choose a DR to handle that specific task. Your DR can take on as much or as little responsibility as you wish.
You can also use money from your budget to purchase employer support services. This can include background checks for potential hires, supplies like file folders, or training such as CPR and first aid.
Another available service is support consultation, which provides training for you or your DR on how to manage duties like supervising and evaluating staff.
Planning for the Unexpected
As a CDS employer, it’s important to have a service backup plan in case an employee is unable to come to work.
Your backup plan can include:
- Paid support: such as another one of your staff members.
- Unpaid support: such as a friend or family member.
- Agency support: You can sign an agreement with a provider agency to purchase backup hours using your budget funds.
Is CDS Right for You?
Whether you choose an agency or become a CDS employer, the most important thing is to select the service delivery option that is best for you. Depending on your program, you may be able to self-direct some or all of your services. It’s your choice.
To find out more about the Consumer Directed Services option, visit https://hratexas.org/cds-services/ for more information.