CHA News

Hospitals Urge State to Allocate Prop 35 Funding As Intended

What’s happening: Last week, CHA submitted comments to the Department of Health Care Services (DHCS) on the administration’s proposal to redirect Proposition (Prop) 35 (2024) funding, rather than allocating it for provider payment increases as voters intended.   

What else to know: CHA urged DHCS to fulfill the will of California voters by:  

  • Fully expending allocations intended for provider payments on increases to pre-existing reimbursement levels  
  • Moving forward with the increased provider reimbursement proposals in a timely and easily implemented manner  
  • Prioritizing flexibility and close collaboration with affected stakeholders in finalizing payment methodologies for these initial years  

CHA’s comments followed discussion at the May 19 “Protect Access to Health Care Act” Stakeholder Advisory Committee meeting. While it is unclear how budget negotiations between the administration and Legislature will impact the governor’s spending plan, the stakeholder committee will likely meet again in June or July. CHA will continue to attend these conversations with the state and advocate the hospital field.