Delaware Reconciles Chimes Billing Issues with the Division of Developmental Disabilities Services

Newark, DE – After an extensive two-year review, the State of Delaware and Chimes Delaware (Chimes) have resolved billing anomalies related to Chimes’ billing procedures for its Supported Employment programs.

Chimes, which offers programs throughout Delaware that help individuals with intellectual developmental disabilities reach their full potential, reached an agreement with the Delaware Department of Justice (DOJ) to reconcile outstanding funds for services rendered. As part of the agreement, Chimes has agreed to return $4,500,000 in Medicaid funds to the State of Delaware.

The DOJ contended that Chimes’ billing for services provided in 2014, 2015 and 2016 to consumers participating in Chimes’ Supported Employment programs contained errors. In addition, the DOJ contended that Chimes incorrectly billed for certain Medicaid-funded transportation services. Chimes disputed that it was overpaid for services provided to Medicaid beneficiaries and contended that the State of Delaware wrongfully withheld payments for services. The agreement that resolves the disputes is neither an admission of liability by Chimes nor a concession by the State of Delaware that its claims were unfounded.

In addition to the billing reconciliation, Chimes worked with Delaware Division of Developmental Disabilities Services (DDDS) to institute a series of new internal controls and billing processes aimed at preventing further anomalies. DDDS and DOJ educated Chimes on Medicaid requirements relating to service documentation, transportation services and billing procedures.

In announcing the settlement, Attorney General Kathleen Jennings stated, “The Delaware Department of Justice’s Medicaid Fraud Control Unit and the Division of Developmental Disabilities Services have important oversight roles in reviewing the expenditure of Medicaid funds on important programs. We are pleased that Chimes and State agencies were able to resolve billing issues in a manner that serves all Delawareans.”

“This resolution is of value to all concerned. DDDS, the Department of Justice and Chimes worked diligently for many months to arrive at a win/win resolution of complex issues. We all look forward to continuing to work together to positively impact the lives of the individuals we serve and their families,” said Terence Blackwell, CEO of Chimes.

DOJ Deputy Attorney General Shawn Martyniak, Investigator Thomas Abram and Senior Auditor Ellen Yates, along with DDDS Director Marie Nonnenmacher led staff from their respective agencies during the course of the review.