UPDATE – MARCH 16, 2026

We have Update on Minnesota DHS Billing Changes

We want to share a quick update about the new payment and billing review system from Minnesota DHS that is being managed by Optum for CFSS and Home and Community-Based Services.

First, we want to say thank you. We are incredibly grateful for all of the clients and caregivers we have had the honor to support, especially during this challenging time. We are also very thankful for those who have referred new families to us. Your trust and support mean a great deal.

Our team has many years of experience working in this industry. Because of that experience, we know how to manage difficult transitions like the one happening across Minnesota right now. This is not our first rodeo. We have been able to stay strong and continue supporting families, and we have also been able to help others whose agencies have struggled through these changes.

One major focus for agencies across the state right now is Electronic Visit Verification (EVV) compliance. We are proud to share that we are very close to reaching the DHS EVV compliance goal of 80% agency-wide, and we are doing so well ahead of the required deadline of July 1. This is a big accomplishment and it would not be possible without the hard work of our caregivers, clients, and office staff.

We especially want to thank everyone who has worked hard to learn and transition to Pavillio and EVV. These systems are important because meeting compliance requirements helps us avoid future payment delays and keeps services running smoothly for the people who depend on them.

As DHS and Optum continue to review billing and payment processes, there may still be changes along the way. Going forward, we may ask some caregivers and clients to adjust how timesheets or charting are entered so that everything matches the requirements set by DHS and Optum. If we ask you to make changes, please do your best to work with us and follow the updated instructions.

We know change can be frustrating at times, but please remember that we are all in this together. Every effort you make helps keep services stable for the families who rely on them.

Overall, we are extremely proud of our team and deeply grateful for the dedication we have seen from both caregivers and clients. While things across Minnesota are not perfect right now, we will continue working together to provide quality, personalized care and to be the best possible employer for outstanding caregivers.

Thank you for being part of this community and for helping us move forward together.

Update – January 13, 2026

We want to thank our clients, families, and field staff for your support and advocacy. It truly made a difference.

As we expected, based on our 30+ years of experience, DHS has now paid nearly all of the payments that were held back for review for our agency’s billing. While some questions remain and the situation is still changing, this outcome shows we are doing things correctly and are on the right track.

We expect DHS and the auditor, Optum, to place even more focus on Electronic Visit Verification in the future. As we move forward we will continue working with all of you to ensure you remain comfortable with Pavillio. Please reach out with any questions or concerns on this topic.

We are strongly against fraud and continue to work with legislators through our trade organization, the Minnesota First Provider Alliance (MFPA). Staci Grattan has been serving on MFPA’s Legislative Integrity Team for several months and recently participated in two meetings:

One meeting with DHS to receive updates on the CFSS rollout, and
One meeting with MFPA to work on proposed anti-fraud statutes to share with legislators, based on real provider experience.

Our services have continued without interruption, and we are accepting new clients on a limited basis. If you know someone who is having trouble or concerns with another home care agency—especially if their current agency has been unstable—they may be referred to us.

Referrals can call our intake line at 218-820-1326, ext. 4. Thank you to those who have already made referrals. Because of you, we have been able to onboard new clients quickly and provide reassurance to those that have been concerned about their caregivers being paid.

1-1-26 Services & Pay Continue

Dear PCA/CFSS Clients and Field Staff,

We want to share an important update affecting all PCA/CFSS providers in Minnesota.

Current situation:

The State of Minnesota is withholding current payments (for claims review for an unknown period of time) to ALL PCA/CFSS providers at this time this means no PCA/CFSS companies in the state are currently receiving payment.
DHS gave providers NO notice that they were intending to withhold ALL payments to PCA/CFSS providers.

What this means for OUR employees:

✅ Our employees will continue to be paid as usual
✅ Payroll will continue on as usual for properly completed, compliant timesheets submitted on time.
* We have been in business since 2001 and have an emergency plan for situations like this.
* As responsible and experienced business owners, we maintain emergency funds specifically to cover payroll during disruptions.
*While we are in a stronger financial position than some PCA/CFSS providers, this situation cannot continue indefinitely, which is why we need you to take action now.

What we are doing right now:

Communicating directly with Minnesota DHS
Contacting state legislators
Working with our trade association, the Minnesota First Provider Alliance
Coordinating and cooperating with other local, reputable and friendly competitor PCA/CFSS providers to share information and strategize as this situation evolves

Our position on fraud:

We are very strongly anti-fraud.
Fraud should be addressed and investigated appropriately by state authorities.
Withholding payments from all providers without notice is not a reasonable solution.
There must be a better audit and fraud-prevention system that does not stop payments to providers.
Withholding payment harms PCA/CFSS workers and the clients who rely on their care.

How you can help:

We respectfully ask both clients and employees to contact your state legislators and advocate for a different approach.

To find your legislators click here
Please consider calling or emailing to explain how this payment freeze impacts you and to urge lawmakers to support accountability measures without withholding provider payments.

You can also email the Governor’s office at this email address constituent.services@state.mn.us

We strongly encourage you to both email the Governor AND contact your state legislators.

See the FAQ section below for examples you can copy and paste into an email and or use as a phone script when calling.

Thank you for your continued trust, support, and advocacy. We will continue to share updates here on this page as we learn more. Please save this link and check back frequently.

Sincerely,
Staci Grattan
President
Grattan Healthcare, Inc.

Frequently asked Questions:

Q – Will I still get my paychecks? or Will my paid caregivers still be paid?

A – Yes. At this time, Grattan Health Care Inc will continue to pay properly completed, compliant timesheets that are submitted correctly and on time.

Q – Will services be interrupted or stopped?

A – No. At this time services will continue on as usual and workers will be paid as usual.

Q – What can I do to help?

A – Contact your state legislators by phone or email. Click HERE to find how who to contact and how Ask them to support anti fraud measures that do not punish providers and jeopardize client care by withholding payment. Every single phone call and email matter!

Q – How long will this last?

A – At this time, we do not have a clear timeline. DHS has not provided a payment schedule or end date for this review. We have been told that DHS has up to 90 days to pay or deny claims, and we currently understand that at least the first 30 days of payments may be withheld for review. DHS has not shared what criteria they are using to review withheld claims, how fraudulent claims will be identified, how many claims will be audited, or how long this process may continue. For many providers, this creates a significant billing and cash flow hardship. Due to our long history, experience, and strong financial stewardship, we are confident we can manage this disruption for a period of time.

Q – Why is this happening?

A – This is our opinion. In October 2025, Governor Tim Walz, responding to national scrutiny of public program fraud and waste in Minnesota, directed the Minnesota Department of Human Services (DHS) to hire a third-party auditor to review claims in certain “high-risk” categories for fraud.

We were told by DHS representatives that only a sampling of claims would be pulled for review—and that this would begin after the start of the new year. That is not what happened. Instead, DHS withheld payment for all claims for all PCA/CFSS providers without prior notice, much earlier than they had indicated. Communication and support from DHS have been inadequate throughout this process. PCA/CFSS has been considered a high-fraud-risk program by DHS for many years.

We pride ourselves on being a reputable agency that does not tolerate or condone fraud!

Q – Do I need to cancel services in case the state doesn’t pay?

A – NO. DHS will eventually release the funds. We are not worried about that. Also we are not legally allowed to bill you for things they do not pay for even if we wanted to (except spend downs) We do still need you to write in and call because this situation cannot last indefinitely. We must get legislators to figure out a different way of attacking fraud. No agency can continue to pay staff without reimbursement long term. Right now we are in a good financial position but long term we need DHS to begin processing and paying claims in a timely fashion like they have done in the past.

Q – What do I say or write when I email or call?

Here is a short example of what you can say when you call or write in:

Subject: Urgent: PCA/CFSS Payments

Dear [Legislator/Governor Walz],

Withholding all PCA/CFSS payments without notice is putting essential care for Minnesotans with disabilities at risk. These services allow people like [myself/my family member] to live safely and independently—without them, daily life becomes difficult and potentially dangerous. Withholding payments to providers is an extreme overreaction to suspected fraud. Please act immediately to ensure providers are paid and services continue without interruption.

Sincerely,
[Your Name]
[City, MN]

ce and relief to families in uncertain situations.