The Hospital Quality Assurance Fee (HQAF) Program and all of its statutory provisions were made permanent through the passage of CHA’s ballot initiative, the Medi-Cal Funding and Accountability Act (Proposition 52), in the November 2016 general election. While this provides the framework for all future hospital fee programs, future iterations must adhere to federal regulations related to health-care provider taxes. Further, the Department of Health Care Services (DHCS) must obtain all necessary federal approvals.
For each hospital fee program, the Centers for Medicare & Medicaid Services (CMS) must approve:
The provider tax waiver, which covers the fee structure used to support the non-federal share of Medi-Cal supplemental payments
Medi-Cal fee-for-service (FFS) state plan amendments, which cover the FFS supplemental payments
Medi-Cal managed care rates and contracts, which cover the managed care supplemental payments
While some federal approvals (e.g., provider tax waiver, FFS state plan amendments) cover the entire hospital fee program, others require review/approval on an annual basis (e.g. managed care rates/contracts). Included below are the hospital fee program federal approvals received to date, for the programs beginning on or after January 2014.
Medicaid Cuts Front and Center as Congress Returns from Recess
Earlier this week, members of Congress returned to Washington, D.C., from their spring recess, with both the House of Representatives and the Senate laser-focused on delivering a 2026 domestic spending bill to President Donald Trump.
CDPH Pauses Real-Time Bed Capacity System Implementation
What’s happening: The California Department of Public Health (CDPH) is temporarily pausing implementation of its real-time hospital bed capacity system — named the Hospital Bed and Emergency Medical Services Data System — as it works to finalize operational details.
Four New Analyses Cover Medicare Quality Programs, Medicare Spending Per Beneficiary, Inpatient Quality Measure Trends, Value-Based Purchasing
What’s happening: CHA DataSuite released four hospital-specific analyses intended to provide hospitals with a preview of impacts and trends related to various programs.
HCAI’s Advisory Guide Explains Health Care Microgrid Requirements and More
What’s happening: Due to the continuity of electrical power required to support patient care, requirements for health care microgrids are above and beyond those of traditional microgrids — and health care facilities with microgrid projects under the Department of Health Care Access and Information’s (HCAI’s) jurisdiction can turn to a new microgrid advisory guide for assistance understanding the process.
Learn About California’s Corporate Greenhouse Gas Reporting Program at Upcoming Virtual Workshop
What’s happening: The California Air Resources Board (CARB) will hold a virtual public workshop on May 29 from 9:30 a.m. to 12:30 p.m. (PT) to share developments on California’s Corporate Greenhouse Gas Reporting Program, which will require certain entities doing business in California to annually report specific emission data.
Upcoming Webinar to Detail IPPS Proposed Rule’s Impact
What’s happening: On May 21, CHA will host a members-only webinar to discuss the Centers for Medicare & Medicaid Services’ (CMS’) federal fiscal year (FFY) 2026 inpatient prospective payment system (IPPS) proposed rule, which includes a net 2.4% payment rate increase — far below what hospitals need to keep up with rising costs and health care needs.
CHA Recommends Prop 35 Funding Methodology to DHCS
What’s happening: On April 25, CHA submitted to the California Department of Health Care Services (DHCS) comments on how to best allocate Proposition (Prop) 35 funding in 2025 and beyond.
Next Week’s Prop 35 Webinar to Examine Delays, Share CHA’s Strategy
What’s happening: On May 8, CHA will host a members-only webinar to provide an overview of Proposition (Prop) 35 and CHA’s strategy to push for expeditious implementation, and share when dollars may realistically flow to hospitals.
CDPH Announces Stakeholder Meeting on Psychiatric Hospital Staffing Regulations
What’s happening: The California Department of Public Health (CDPH) released All Facilities Letter (AFL) 25-16 on April 29, announcing the beginning of its regulatory process for establishing nurse-to-patient ratios in acute psychiatric hospitals.