The 2026-27 Budget: Department of Developmental Services

Mar 13, 2026 - Additionally, loss of Medi ‑Cal coverage could require RCs to pay for health care services for consumers at full cost to the state if no other source of care is available. Continuing legislative oversight will help ensure that exemptions for DDS consumers are implemented as intended.
https://lao.ca.gov/Publications/Report/5157

The 2026-27 Budget: Medi-Cal Analysis

Mar 2, 2026 - This lower limit indirectly affects certain provider taxes, as some states —including California —use their provider taxes to help pay for these directed  payments. Proposal Assumes Current Version of Health Plan Tax Expires at End of 2026 … The Governor ’s budget assumes the current structure of the health plan tax remains in effect through the end of December  2026.
https://lao.ca.gov/Publications/Report/5146

Considering Medi-Cal in the Midst of a Changing Fiscal and Policy Landscape

Oct 24, 2025 - As with childless adults who have satisfactory immigration status, the federal government currently pays 90  percent of emergency care costs. Beginning in October 2026, the federal government will only pay the state ’s  regular federal match rate (50  percent in California) for these  services.
https://lao.ca.gov/Publications/Report/5083

The 2026-27 Budget: Medi-Cal Fiscal Outlook

Nov 19, 2025 - With no further loan planned under current law in 2026 ‑27, the General Fund will need to cover costs moving forward (the current state spending plan envisions gradually paying off this loan over more than a decade).
https://lao.ca.gov/Publications/Report/5092

The 2025-26 California Spending Plan: Health

Oct 16, 2025 - Health plans that participate in Covered California must use these accounts so that federal subsidies do not pay for abortion services. The fund is continuously appropriated through the 2028-29 fiscal year.
https://lao.ca.gov/Publications/Report/5075

The 2025-26 Budget: Medi-Cal Pharmacy Spending

Apr 3, 2025 - State Recently Created New “Medi ‑Cal Rx ” System to Pay for Drugs. Most Medi ‑Cal beneficiaries are enrolled in the program ’s managed care system, in which the state pays health plans each month to cover services for beneficiaries.
https://lao.ca.gov/Publications/Report/5026

The 2025-26 Budget: MCO Tax and Proposition 35

Feb 26, 2025 - For example, some health plans use fee-for-service approaches to pay for services. Others enter into managed care contracts with certain providers, paying monthly rates in exchange for overseeing the care of beneficiaries.
https://lao.ca.gov/Publications/Report/4992

The 2025-26 Budget: Health Care Access and Information

Feb 20, 2025 - One key issue is rebates —negotiated discounts that drug makers pay to health plans after drugs are purchased. Rebates help health plans mitigate the high cost of drugs, and brand drugs likely come with higher rebates than generic drugs.
https://lao.ca.gov/Publications/Report/4979

The 2025-26 Budget: Understanding Recent Increases in the Medi-Cal Senior Caseload

Mar 6, 2025 - Prior to December 2020, seniors and persons with disabilities whose incomes were between roughly 122  percent and 138  percent of the FPL had to pay a share of cost in order to receive Medi ‑Cal coverage.
https://lao.ca.gov/Publications/Report/5010

The 2024-25 Budget: Medi-Cal Analysis

Feb 14, 2024 - For exam ple, the administration proposes to adopt a new approach for paying for hospital outpatient services no sooner than 2027 —potentially not long before the provider payment reserve is depleted.
https://lao.ca.gov/Publications/Report/4838