Provider Update: Minimum Wage Increase

Date: 09/16/22

Fort Lauderdale, Florida

As you are likely aware, the Freedom First budget for State Fiscal Year (SFY) 2022-2023 included funding to the Agency for Health Care Administration (AHCA) for the purpose of raising the minimum wage for employees of Medicaid providers to at least $15 an hour.

Sunshine Health is diligently working to evaluate the impact of this change on our provider network. Most of the additional funding for providers will come through increases to the Medicaid fee schedule, or through increased contract rates for impacted providers.

Sunshine Health is currently evaluating rate adjustments for some Long Term Care providers and home health providers. In those instances, Sunshine Health will be outreaching to impacted providers with the goal of amending certain contracts with an effective date of October 1, 2022.  This means rate increases for these impacted providers will be paid retroactively to October 1, 2022, with the goal of amending all impacted providers by January 1, 2023.  

Many providers who are reimbursed from the Medicaid fee schedule will see an increase as AHCA makes changes.

Each provider impacted by the increased fee schedule is required to enter into a supplemental wage agreement by October 1, 2022, with AHCA. The agreement will require providers to attest to paying each employee at least $15 per hour.

For more information, please see AHCA’s Frequently Asked Questions.

If you have questions about this notice, please contact your Provider Engagement Representative or call Sunshine Health Provider Services at 1-844-477-8313. Stay up to date on Sunshine Health provider notices by reviewing and bookmarking Provider News.

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