Friday 2/6/26 public newsletter from the Office of Community Living at HCPF with the PAUSE of implementation of IRSS rate change, 56 hour caregiver limit and age limit on community connector.
This verbiage below in italics is from a Friday 2/6/26 public newsletter from the Office of Community Living at HCPF. This is the "department stance".
New This Week
Update on Long-Term Services and Supports (LTSS) Sustainability Actions
As state authorities change, our implementation plans for LTSS budget reductions must also change.
These actions are necessary to address both the immediate budget shortfall resulting from the passage of H.R.1 and Colorado’s ongoing structural budget deficit. The combined fiscal impact required the Office of Community Living (OCL) to begin implementation under the short-term authority of the Governor’s Executive Order, while simultaneously pursuing long-term authority through legislation and rulemaking.
The Executive Order is scheduled to expire at the end of February. Because LTSS planning typically occurs 60–90 days in advance, OCL began providing information and training to case management agencies in January to support timely and consistent conversations with members and families about the proposed reductions.
The Joint Budget Committee (JBC) has since chosen to table two actions—the 56-hour weekly caregiver cap and the IRSS rate alignment. As a result, OCL is pausing related operational guidance until the JBC takes final action.
This sequence is not typical. We recognize that shifting guidance creates real rework and uncertainty, and that this impacts members, families, advocates, provider organizations, and case management agencies. Our goal remains to provide timely communication and transparency as decisions evolve, while acknowledging the burden these changes place on those responsible for implementing them.
We appreciate the patience, professionalism, and continued partnership of our case management agencies, providers, advocates, and community partners as we navigate these complex fiscal and policy challenges together.
Initiatives Paused at This Time
The following initiatives are paused pending further action from the JBC.
Individual Residential Services and Supports (IRSS) – Rate Alignment
Implementation of IRSS rate alignment is temporarily on hold pending further direction.
56-Hour Caregiving Cap
Implementation of the 56-hour caregiving cap is temporarily on hold pending further direction.
HCPF will share additional information for both Medicaid Sustainability Actions once future implementation options and timelines are determined in coordination with the JBC.
Community Connector Age Limit
HCPF has received additional guidance from The Centers for Medicare and Medicaid Services (CMS) related to the Community Connector age limit. CMS recommended that HCPF more clearly outline when the service may be required based on assessed need, provide more information about parental responsibility, and confirm the appropriate application of the service for children. HCPF is incorporating this guidance into the waiver amendment and rules and has asked case managers to temporarily pause until further clarification and guidance can be provided. This guidance does not substantially alter the Department’s original policy and stakeholders should anticipate a resumption of this action shortly.
At this time:
- There is no change to the overall rollout plan, but HCPF is asking case managers to pause implementation until further clarification is provided.
- Members who have already spoken with their Case Manager and received a Notice of Action do not need to reach out again. The Case Manager will contact the member when and if follow-up is required.
Looking Ahead
HCPF understands that changes and pauses can create uncertainty for members, families, and other stakeholders. These decisions are being made to ensure compliance with federal guidance, alignment with legislative direction, and the long-term sustainability of Medicaid and LTSS in Colorado.
We remain committed to transparency and will continue to provide updates as decisions are finalized. Thank you for your continued partnership and engagement as we work to support Coloradans who rely on these essential services.