Unpaid lawsuit costing state taxpayers nearly $19,000 per day

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Washington taxpayers are on the hook for $18,781 per day in interest because the state hasn’t paid out a class action lawsuit dating back years.

In-home health care providers sued Washington’s Department of Social and Health Services for back pay in 2007 and won in 2010, after DSHS cut their pay in an effort to save money back in 2003.

The roughly $57 million decision, affirmed by the state Supreme Court in April of this year, hasn’t yet been paid.

According to DSHS documents, more than $87 million will likely be paid out after all of the interest is accounted for – amounting to roughly $30 million of your tax dollars to be paid by the state because of interest.

"I'd totally be outraged. This is money that's being flushed down the toilet,” said attorney Greg McBroom, who has worked the case on behalf of in-home health care providers.

One of those providers is Maureen Pfaff.

Her daughter Natasha was born with a rare brain abnormality that caused serious degenerative health complications.

By 18, Natasha’s condition was getting worse and she required constant care. Natasha's mother Maureen decided to nurse her at home. In return, Maureen became a state contractor and earned $10 an hour.

"I never, as a mom, had a chance to go have a career like other moms, I was dedicated to my daughter,” said Pfaff.

She was one of tens of thousands of in-home care providers contracted by the state's Department of Social and Health Services.

She says she and others actually saved the state money.

"The state would have an enormous bill if those parents weren't doing that job,” she said.

But in 2003, DSHS decided to cut these workers’ hours by about 15 percent to save money.

Pfaff and thousands of others filed a class action lawsuit -- suing for back pay.

The state Supreme Court sided with them just this year.

Attorney Greg McBroom says DSHS fought the lawsuit for years, and should pay up now from their budget.

But DSHS sent KIRO 7 a statement saying it's not their responsibility to come up with the money.

The lawsuit will cost so much money, it requires legislative action.

"We're gonna pay the lawsuit, we lost,” said state Rep. Ross Hunter.

He chairs the house committee responsible for coming up with a budget and making sure the lawsuit gets paid out. We asked Hunter if he was concerned about accruing interest.

"Sure I'm concerned about that interest. The question is -- when can the egislature act?"

Hunter says the only way legislators could act sooner than January, when they convene, is if the governor calls them into session earlier. They weren’t in session last April when the State Supreme Court affirmed the 2010 ruling, so he says the first time the Legislature could allocate money will be in January or February.

Hunter says he expects federal money to pay for half of the judgment.

Pfaff and others have been waiting years for their back pay.

And as Pfaff waited, her daughter Natasha passed away.

"I know she's in heaven, and I know that she is so free of that body that inhibited her,” said Pfaff.

"It's not just me, there are countless other parents who take care of their children in their home, and dedicate their lives, and the state kicks them in the rear like this,” she added.