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CONSEQUENCE OF A LATE OPWDD CFR…What You Need to Know

On April 27th OPWDD sent an email (click here) to providers regarding the CFR filing requirements for the for Calendar Year agencies, emphasizing the penalties for a late filing of all the required documents. Based upon a few inquiries received from a few member agencies, IAC sent some questions to OPWDD regarding both calendar and fiscal year filers. Here are the answers.

Q: If an agency incurs the 2% penalty, but submits its required materials before the 50% penalty deadline, when does the 2% penalty go away? 

A: The 2 percent penalty is imposed effective the date the CFR is due (12/1 or 6/1). This penalty is imposed until the first billing cycle of the month following when they come into compliance. So for example, a fiscal filer submits their 7/1/17-6/30/18 CFR on 2/5/19. The 2 percent penalty would be imposed from 12/1/18 until 3/1/19.  For the 17/18 CFR reporting period a fiscal provider must come into compliance by 2/1/19  in order to avoid the 50 percent penalty.  Effective 8/1/19 this provider would incur the 50 percent penalty.

Q: If an agency incurs the 50% penalty, when does that go away?

A: Once the 50 percent penalty is imposed the penalty will continue until the due date of the next CFR reporting period. So using the example above this provider would incur the 50 percent penalty until the due date (12/1/19) of their 18/19 CFR, assuming they file timely. 

Q: Does an agency go on the Early Alert list automatically with the 50% penalty. 

A: Not automatically.  For example, the provider may just decide to change auspice and OPWDD will work with that provider; thus, eliminating the need for the Early Alert process which is meant to help the provider to retain services.

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