(SeaPRwire) – A separate, non-employer support framework delivers advantages, training, and contingent risk safeguards—without altering Medicaid or FMS structures.
Woodbury, Minnesota May 29, 2026 – As self-directed care expands across Medicaid programs nationwide, a new initiative tackles an increasing yet frequently ignored challenge: supporting caregivers without unintentionally raising liability for participants, Fiscal Management Services (FMS) providers, or Managed Care Organizations (MCOs).
The initiative presents a parallel support framework engineered to function outside conventional Medicaid and FMS structures—preserving self-direction integrity while enhancing caregiver stability and lowering risk exposure.
“The greatest risk is doing nothing—doing it partially is the real issue,” noted a project representative. “Many programs today unintentionally generate liability by offering partial training, guidance, or oversight without clear structural separation. This is where legal exposure typically arises.”
Tackling a Growing Workforce Challenge
The announcement arrives as direct care workforce pressures intensify. According to PHI, the U.S. will require over 9 million direct care job openings by 2031, while wages stay low and turnover remains significant.
UCSF Health Workforce Research Center on Long-Term Care research further illustrates how “benefit cliffs” and income unpredictability fuel workforce instability—creating hurdles for both caregivers and the systems that depend on them.
A Parallel Support System—Not Embedded Services
Instead of integrating new services within the FMS or employer framework, the model introduces a separate, voluntary ecosystem that functions independently.
“We’ve established a parallel support system outside Medicaid and FMS operations that boosts caregiver stability while incorporating a non-employer, contingent risk backstop—without expanding liability or regulatory exposure.”
This approach upholds:
- The participant as the legal employer
- The FMS as an administrative entity
- A clear boundary between support services and employment connections
The Role of the Self-Directed Care Association
At the core of the model is the Self-Directed Care Association (SDCA), which acts as:
- A risk separator
- An engagement platform
- A benefits distributor
Key design aspects include:
- Voluntary participation
- No payroll deduction
- Delivery outside Medicaid funding
This structure enables programs to broaden caregiver support without modifying employer connections or triggering regulatory concerns.
Supporting Platforms
Two platforms assist in implementing the model:
Flexicare Benefits
https://flexicarebenefits.com
A caregiver-focused platform offering:
- Non-insurance benefits
- Support services
- Engagement-based incentives unrelated to employment
Self-Directed Care Assoc.
https://sdcassoc.com
An assessment tool created for MCOs and FMS providers to:
- Detect hidden risk exposure areas
- Flag “middle ground” compliance issues
- Provide a roadmap toward more defensible program design
A Timely Solution for States and Managed Care
As states and managed care organizations continue seeking methods to enhance caregiver recruitment and retention, this model offers a framework that aligns support with compliance.
By keeping services external and voluntary, it avoids unintended consequences that can occur when roles and responsibilities become unclear.
About the Initiative
The initiative focuses on reinforcing the self-directed care model through innovative, compliant support structures that improve workforce stability while safeguarding existing program design.
Media Contact
Eric Dennison
eric@sdcassoc.com
Flexicare / SDCA
Media Contact
Flexicare Benefits/ SDCA
*****@sdcassoc.com
http://flexicarebenefits.com
Source :Flexicare Benefits
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