The 2021-22 Budget: Department of Developmental Services (DDS) May Revision Budget Proposal

May 24, 2021 - The recently passed ARP Act provided one-time Medicaid funding to “enhance, expand, or strengthen ” home- and community-based services (HCBS) by increasing the federal matching rate by 10  percentage points for a one-year period.
https://lao.ca.gov/Publications/Report/4438

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

Oct 24, 2025 - Beginning in October 2026, the federal government will only pay the state ’s  regular federal match rate (50  percent in California) for these  services. Other Key Changes Prohibits Enforcement of New Eligibility Rules.
https://lao.ca.gov/Publications/Report/5083

The 2026-27 Budget: Department of Developmental Services

Mar 13, 2026 - The APD process allows the state to request a 90  percent match in federal funding (rather than California ’s standard 50  percent match) to design, develop, and install IT systems that enable the state to more efficiently administer Medicaid benefits.
https://lao.ca.gov/Publications/Report/5157

The 2021-22 Budget: Analysis of CalAIM Financing Issues

Feb 16, 2021 - However, today we understand that the state ’s higher ‑cost plans often perform better in terms of access and quality. This raises questions about whether the transition to regional rate setting would improve efficiency at the cost of reduced access and/or quality.
https://lao.ca.gov/Publications/Report/4374

The 2026-27 Budget: Medi-Cal Fiscal Outlook

Nov 19, 2025 - Under H.R. 1, the federal match for these services will decrease from 90  percent to 50  percent for certain undocumented adults, requiring a backfill from the General Fund to maintain existing services.
https://lao.ca.gov/Publications/Report/5092

The 2023-24 Budget: Analysis of the Medi-Cal Budget

Feb 10, 2023 - Federal Match for Designated State Health Programs. In late January 2023, the Department of Health Care Services received federal waiver approval allowing the state to claim federal matching funds for certain existing programs that would otherwise be funded solely with state funds.
https://lao.ca.gov/Publications/Report/4675

The 2024-25 Budget: Department of Developmental Services

Feb 13, 2024 - Under this plan, the final rate adjustment would occur in 2025 ‑26. The  original time line included the following steps: Year 1 (2021 ‑22). Service provider rates increase beginning April 1, 2022. Rate increases equal one ‑quarter of the difference between a provider ’s current rate and what the fully funded rate model (as of 2021 ‑22) would be according to the rate study.
https://lao.ca.gov/Publications/Report/4837

The 2023-24 California Spending Plan: Health

Oct 23, 2023 - As a part of the 2021-22 budget package, the state was required to submit a package of home- and community-based services (HCBS) enhancements —known as the HCBS spending plan —to the federal government as a condition of drawing down additional federal funds resulting from a temporary 10  percentage point increase to the federal Medicaid match rate.
https://lao.ca.gov/Publications/Report/4810

The 2023-24 Budget: Department of Developmental Services

Feb 15, 2023 - Additional Questions About Underlying Rate Models. In addition to concerns about the quality incentive program being developed, we have heard several concerns about the underlying rate models. For example, we have heard that the inputs used in some rate models may be inappropriate.
https://lao.ca.gov/Publications/Report/4683

The 2025-26 Budget: MCO Tax and Proposition 35

Feb 26, 2025 - For example, were the MCO tax to generate about as much net revenue in 2027 as it does today, we estimate only around one-third of the net revenue (rather than more than half under the Governor ’s budget) would be available for the General Fund offset.
https://lao.ca.gov/Publications/Report/4992