CDPAP caregivers sue PPL, claiming weeks of underpayment

ALBANY, N.Y. (NEXSTAR) — The Legal Aid Society sued Public Partnerships LLC in federal court in Brooklyn on April 25 over PPL's alleged failure to pay home care workers. They argued that the over quarter of a million New Yorkers who rely on the Consumer Directed Personal Assistance Program could lose the care they rely on.

In response to the lawsuit, a spokesperson from PPL said, "We’re committed to ensuring consumers continue to receive care, personal assistants are paid on time, and payments follow state and federal requirements to protect the integrity of the CDPAP program. We’re reviewing the filings and can’t comment further at this time on ongoing litigation."

The state shifted all payroll associated with CDPAP—the Medicaid program that lets older adults and people with disabilities hire friends or family as caregivers instead of going through a traditional home care agency—to PPL on April 1. The program lets New Yorkers choose and manage their own home care health aides. Previously, hundreds of companies known as fiscal intermediaries processed pay for the personal assistants in question.

The lawsuit—available to read at the bottom of this story and filed in the U.S. District Court in Brooklyn—alleged that PPL’s new app and call-in systems lose and reject timesheets, automatically clock workers out of overnight shifts, and jam up phone support lines. “No caregiver should ever have to choose between caring for a loved one and being able to afford rent or groceries,” said Legal Aid staff attorney Michael Diller.

The suit names Staten Island aid worker Philip Calderon, who claims to not have been paid for about 169 hours of care since April 1. This despite faxing documents, signing into the app, and contacting PPL repeatedly.

Legal Aid joined with the law firm Katz Banks Kumin in what they hope will become a class action lawsuit representing thousands downstate. They want back pay under the Fair Labor Standards Act, New York labor laws, and the state’s Wage Parity Act, plus penalties for late and missing wages. The plaintiffs also seek "liquidated damages"—double the amount of unpaid wages—for what they called willful violations.

According to a spokesperson from the Department of Health on Monday, “The Department continues to closely monitor this transition as part of its ongoing commitment to protecting access to care and supporting caregivers. The Department encourages any caregivers or consumers with questions to reach out to PPL, their managed care plan or local Department of Social Service, or the Department of Health directly for assistance.”

PPL said it paid 155,000 CDPAP caregivers in its third weekly payroll and issued more than $240 million so far in April in an April 25 statement. The company pointed to new online resources, video guides, and a 2,000-person support team to help users register, clock hours, and resolve pay issues through apps and web portals.

PPL President Maria Perrin said in a statement on Friday, “We remain focused on ensuring consumers continue to receive care, personal assistants are paid on time, and payments follow program rules to protect the integrity and sustainability of the program.”

Also on April 25, the state Health Department and PPL extended a blanket exception letting aides submit paper timesheets.

“Permitting the use of paper timesheets through May 17 will come as a relief to many consumers and their PAs still learning to navigate the PPL systems,” said Elizabeth Jois, supervising attorney at the New York Legal Assistance Group—which is distinct from the Legal Aid Society of New York and represented CDPAP consumers in a related suit. In that case, NYLAG pushed for giving CDPAP users until May 15 to enroll with PPL and extended deadlines for aides to June 6.

The lawsuit and policy updates come as advocates warn that continued glitches could drive aides away and disrupt care for tens of thousands of vulnerable New Yorkers. After May 17, aides must use electronic systems or seek an individual exception.

Take a look at the lawsuit below:

Related video—DOH and PPL address CDPAP transition concerns: