Rate Studies

Permanent Injunction

  • 59. Rate Studies
    1. For any rate study required to be conducted under paragraphs 33, 37, 38, 39, or 48, the following shall apply:
      1. The Commonwealth may either engage Guidehouse as a vendor to conduct the rate study or solicit for a vendor to conduct the rate study. If the Commonwealth engages Guidehouse, the United States may provide input on how the Commonwealth directs Guidehouse to perform the rate study, participate in Guidehouse’s meetings with stakeholders and have an opportunity to review and comment on Guidehouse’s draft report. If the Commonwealth solicits a different vendor to conduct the rate study, the United States may propose qualifications to be included in the Commonwealth’s solicitation for a vendor to conduct the rate study, and the Commonwealth will not unreasonably withhold its consent to the inclusion of the United States’ proposed qualifications in the solicitation. At a minimum, the selected vendor must have demonstrated experience analyzing rates and recommending rate changes that have successfully increased provider capacity. After a vendor is engaged, the United States may provide input on how the Commonwealth directs the vendor to perform the rate study, participate in the vendor’s meetings with stakeholders and have an opportunity to review and comment on the vendor’s draft report. At a minimum, the rate study shall be in accordance with best practices and designed to target rates necessary to ensure sufficient capacity to reach the goals of paragraphs 33, 37, 38, 39, and 48.
      2. The vendor shall submit a draft of the rate study to the parties for comment at least 30 days before finalizing the study and shall address any comments in the final version of the study.
      3. The study shall be placed in the Library and filed (by either party) with the Court.
      4. The Commonwealth shall make its best efforts in the two legislative sessions immediately following publication of the results of the rate study to obtain from the General Assembly funding necessary to increase rates to those recommended by the study, accounting for any increases in inflation in the rate’s implementation.
      5. Upon request of the United States, the Court shall hold a status conference one month after the Governor’s proposed budget is submitted to the General Assembly if the rate increases identified in the Study are not in the proposed budget.
      6. Upon request of the United States, the Court shall hold a public hearing within 30 days after the Governor and General Assembly have taken all steps necessary to finalize the budget. The hearing shall address whether the rate increases identified in the Study are included in the budget, and, if not, whether the Court should order any steps.

Rate Study Documents

Developmental Disabilities (DD) Waiver Rate Study, 10/15/2025