CSAC Bulletin Article

State Submits Revised Home and Community Based Services Spending Plan

July 15, 2021

The Department of Health Care Services (DHCS) officially submitted a revised Home and Community Based Services (HCBS) Spending Plan to draw down an additional $3 billion in federal funding for populations that are aging, disabled, homeless, and those with severe behavioral health needs.

The state’s July 12 HCBS Spending Plan was drafted to take advantage of the opportunity for enhanced Federal Medical Assistance Percentage (FMAP) offered under the American Rescue Plan Act (ARPA) of 2021 for vulnerable populations.

The revised plan incorporates stakeholder feedback and input from the state Legislature and anticipates $4.7 billion in total spending, down from $5.2 billion in the original draft. Additionally, the original 35 components have been whittled down to 30.

CSAC had advocated for more robust county involvement in many of the proposals, including recognition of the role counties play in behavioral health services, In-Home Supportive Services (IHSS), and public health. Many details remain to be determined when and if CMS approves the California HCBS Spending Plan.

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