What a Fiscal Intermediary Does in OPWDD Self-Direction (and What It Doesn't)

When families first hear about Self-Direction, three roles get blurred together: the Care Manager, the Support Broker, and the Fiscal Intermediary, or FI. Knowing who does what saves a lot of frustration later. This post is about the FI.

The short version

The Fiscal Intermediary is the organization that handles the money and the employment paperwork. It is approved by OPWDD to do this, and every self-directing family works with one.

What the FI is responsible for

• Being the employer of record. For staff you hire yourself, the FI is the legal employer on paper. You are the managing employer: you choose, train, schedule, and supervise your staff.
• Hiring paperwork and checks. The FI verifies that new staff can legally work, runs the required background checks, and tracks required OPWDD trainings before staff can start.
• Payroll. Processing timesheets, paying staff, and handling tax withholding.
• Paying for approved goods and services. If your budget includes things like a class or a membership, the FI pays for them.
• Tracking your budget. The FI keeps the accounting and reports on how much of your budget has been spent.
• Medicaid billing and compliance. The FI handles the billing side and keeps the records OPWDD requires.

You and the FI sign an agreement, called a Memorandum of Understanding, that spells out your authority to hire, train, and supervise staff, and to end their employment if it isn't working.

What the FI doesn't do

• It doesn't choose your staff. That's you.
• It doesn't design your budget. That's you and your Support Broker, with your Circle of Support.
• It doesn't write your Life Plan. That's your Care Manager.

A simple way to remember it: the Care Manager plans your overall services, the Support Broker designs your self-direction budget, and the FI makes the money and paperwork work.

What to ask when choosing an FI

• How long does it usually take to get a new staff member cleared to start?
• How do staff submit timesheets, and how often are they paid?
• How will I see my budget balance, and how often is it updated?
• Who is my contact person, and how quickly do they respond?
• What happens if a timesheet or invoice has a problem?

Responsiveness matters more than almost anything. When a new staff member is waiting to start, or a paycheck is late, you want someone who answers the phone.

Why we care about this

Spectrum Arch is in the process of offering Support Brokerage, and one of our longer-term goals is to seek OPWDD approval as a Fiscal Intermediary. Coordinating between several organizations is one of the harder parts of Self-Direction, and we want to make it simpler for families in the Capital Region.

Sources: OPWDD, Self-Direction Fiscal Intermediary Checklist; OPWDD, Memorandum of Understanding for Fiscal Intermediary Services; OPWDD, Self-Direction.