CSAC Bulletin Article

In-Home Supportive Services Maintenance of Effort Details and Next Steps

July 18, 2019

As discussed in the CSAC Power Minute Video on In-Home Supportive Services (IHSS), the revised County IHSS Maintenance of Effort (MOE) will create a more sustainable fiscal structure for counties to manage IHSS costs and continue to deliver vital services on behalf of the state. CSAC partnered with counties over the past two years to work towards achieving this outcome and is grateful to the Governor and the Legislature for the proposal and legislation that will accomplish this goal.

The language to enact these changes was contained in SB 80 (Chapter 27, Statutes of 2019), the human services omnibus budget trailer bill. The trailer bill enacted several major changes to the IHSS MOE structure. All of these MOE changes are made possible through an increased State General Fund commitment for IHSS above current law of $296.7 million in 2019-20 and $1.86 billion over the first four years of this new structure. These changes are:

  • Lowering the County IHSS MOE base in 2019-20 to $1.56 billion,
  • Reducing the MOE annual inflation factor from seven percent to four percent,
  • Stopping the redirection of vehicle license fee (VLF) growth funds from Health, Mental Health, and County Medical Services Program to Social Services,
  • Ending the State General Fund IHSS mitigation,
  • Returning to the original method for calculating IHSS caseload and no longer utilizing accelerated caseload growth, and
  • Funding IHSS administrative costs through a General Fund allocation.

Full details about the impacts on counties, MOE adjustment provisions, and collective bargaining provisions are available in CSAC’s Budget Action Bulletin. CSAC is actively working on implementation of the new IHSS MOE and will provide resources and training opportunities for counties over the coming weeks and months.

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