Upcoming Changes to CDCS and CSG

Tuesday, June 19, 2018

Earlier this month the Minnesota Department of Human Services (DHS) sent notice regarding the planned changes to CDCS and CSG. As indicated in the letter from DHS:

  • PICS will change from being your FSE (Fiscal Support Entity) to being your FMS (Financial Management Services) provider
  • A definitive date of change has not yet been determined.

As an FMS, we will only be allowed to offer the Payroll Model.  Payroll Model requires that a person who uses CDCS or CSG is the employer and the workers providing care are employed by that person.  PICS will help participants become employers and help hire caregivers as employees of that participant.  PICS will process timesheets, issue payroll, file employer taxes and arrange for worker’s compensation coverage if needed.  Most likely, you have already been contacted by your Service Coordinator to talk about transitioning to the Payroll Model. 


If you are already using Payroll Model:

You are prepared for the upcoming changes. No further steps are needed at this time.


If you are planning to transition within the next few months or upon Plan renewal:

There will be no gap in services between FSE and FMS as long as you meet all of the following conditions:

  • Your transition occurs prior to the State making this change.
  • All State and Federal documents have been completed properly and processed.
  • All employment documents have been completed properly and processed.


If you still need to make plans to transition:

You are allowed to continue using Agency with Choice until the State makes the change. However, to avoid potential gaps in service, you should work with your PICS Service Coordinator to complete the State and Federal documents along with employment paperwork so that these can be processed as soon as the change is mandatedWaiting to transition until required may result in a delay and gap in eligibility.

DHS, your case manager and PICS will share information and updates as soon as they become available.