Section 97, Appendix C, Residential Care Facilities (RCFs) Cost-of-Living (COLA) & AAAA Adjustments

As noticed earlier today, this e-message contains additional information specific to services provided under Section 97C.

In alignment with P.L. 2025, Ch. 388, (Part GGG), MaineCare is adjusting the RCF direct care rates to reflect a 1.0% COLA retroactively, effective July 1, 2025.  

Funding for this COLA will be made available to the Department on September 24, 2025, pending a 90-day waiting period that began with the adjournment of the Legislature on June 25, 2025. We will provide additional noticing when revised rate letters reflecting this 1.0% COLA are posted. 

Please note, this 1.0% COLA is in addition to the planned Part AAAA add-on rate adjustment of 1.95% described in our June 5, 2025 e-message. As announced on July 2, 2025, the implementation of the 1.95% adjustment is temporarily delayed. 

RCF Billing Guidance 

Providers should bill for services according to the rates provided in their most current rate letter. Providers will be responsible for adjusting affected claims submitted between July 1, 2025, and the implementation date of new rates for each adjustment described above.  

For questions, please contact your Provider Relations Specialist.