Kansas is making big changes to how it provides services for people with intellectual and developmental disabilities (IDD). Starting Summer 2026, both day and residential services will be unbundled into separate categories. Providers across the state need to start preparing now to stay compliant, protect their funding, and continue offering high-quality, person-centered support.

Why Are These Changes Happening?

This modernization is driven by two major forces:

Home and Community-Based Services (HCBS) Settings Final Rule — requiring services to promote inclusion, autonomy, and integration

Kansas’s CMS Corrective Action Plan — designed to address compliance gaps, conflicts of interest, and overly broad service definitions

The overarching goal? To deliver services that are truly person-centered, community-integrated, and conflict-free. The current model, which often bundles different services under one billing code, is being replaced with a system that offers clarity, transparency, and better alignment with individual goals.

What "Unbundling" Means for Providers

Previously, services for day and residential programs were grouped under broad, single service categories. Starting in 2026, they will be split into specific, clearly defined service types:

Day Services Will Include:

Retirement & Seniors Day Habilitation

Community-Based Day Habilitation

Prevocational Services

Life Skills Services

Career Exploration & Planning

Individualized Employment Support

Residential Services Will Include the Same Six Types as Above, Differentiated by Setting and Delivery Context.

In addition, a new Benefit Planning Service will be introduced, helping individuals understand how employment impacts their benefits.

Each of these services will have:

- Defined service descriptions

- Updated documentation requirements

- Specific quality standards promoting integrated, person-centered supports

Timeline & Compliance 

While the transition officially begins next year, implementation will roll out gradually through each individual's Person-Centered Planning process. Organizations must be ready ahead of time depending on their planning cycles.

Key Compliance Points:

- New codes and definitions for each service type

- Setting requirements that promote community integration

- Conflict-free case management

- Documentation tied directly to individual goals and outcomes

Documentation: What You Need to Know

In anticipation of these changes, organizations will need to:

- Update documentation templates to reflect the six unbundled service types

- Train staff on the nuances of each service definition

- Track goal alignment and service delivery more precisely

- Ensure audit-readiness through consistent, complete records

Outdated documentation could lead to service denials, audit flags, or funding interruptions. This means proactive preparation is essential.

Action Plan for Leaders

Here’s how Directors and Managers can prepare:

For Directors:

- Assess organizational readiness across both day and/or residential programs

- Allocate resources for system upgrades and staff training

- Engage Board of Directors with strategic updates

For Managers:

- Audit current documentation against new definitions

- Begin rewriting intake, service plan, and daily note templates

- Pilot documentation updates with select staff

- Coordinate with IT to ensure your systems support new codes

Final Thoughts

Unbundling day and residential services is not just about meeting compliance rules. It’s also a chance to improve the quality and impact of IDD services throughout Kansas. By getting ready now, providers can lower their risks, improve how their programs run, and offer better support to the people who depend on them.

Regulations Are Changing. We Make It Easy.

Kibu is built for what’s next. Our built-in documentation tools, goal tracking, and AI-powered reporting are ready for upcoming changes. We’ll always have you covered, no guesswork involved. 

Let’s get ahead of the change, together. Book a 30-minute call with our team and save yourself hours of stress, rework, and second-guessing. Your future self (and your staff) will thank you!

👉 Click Here to Get Ahead of the 2026 Unbundling of Services!

Frequently Asked Questions

What is the unbundling of IDD services in Kansas?
Unbundling refers to the process of separating currently grouped services (like day and residential supports) into distinct categories with their own codes, documentation, and expectations. Starting in 2026, providers in Kansas will bill for each service type individually, based on clearly defined descriptions.

When does the unbundling of services take effect in Kansas?
The official transition begins no earlier than July 1, 2026, but implementation will occur gradually as part of each individual’s Person-Centered Planning process. Providers should prepare in advance based on their caseloads and planning schedules.

Why is Kansas unbundling IDD services?
This change is driven by the HCBS Settings Final Rule and Kansas’s CMS Corrective Action Plan, both of which aim to improve compliance, increase transparency, promote community inclusion, and eliminate conflicts of interest.

Who will be impacted by the unbundling of services?

All IDD service providers operating under the Kansas HCBS IDD Waiver, particularly those delivering day and residential habilitation services, will be affected. The changes will also impact QA staff, administrators, and executive leadership responsible for compliance and strategic planning.

How should IDD providers prepare for the unbundling transition?
Providers should start by:

- Auditing their current service offerings and documentation

- Updating forms and systems to reflect the six new service types

- Training staff on new definitions and expectations

- Applying for transformation grants to fund preparation and change management