Hospital Fee Program

About Hospital Fee Program

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. View the hospital fee program federal approvals received to date, for the programs beginning on or after January 2014.

Medicaid Provider Taxes Protect Californians’ Access to Care

Medicaid provider taxes are a cornerstone of the Medicaid financing structure. Without federal revenue generated from these taxes, reimbursement for care provided to patients covered by Medicaid would be woefully insufficient and health care access would be at grave risk. For many hospitals, losing this revenue would mean closure of service lines; for others, it...

Hospital Fee Program Invoices Due Feb. 25

What’s happening: Payments for the Hospital Fee Program 8 directed payment for cycle MC2 DPa are due to the Department of Health Care Services (DHCS) on Feb. 25. It is critical that all hospitals pay their invoices in full and on time.   

Eyes on CMS as Fee Program Negotiations Continue

As California hospitals continue to face strong financial headwinds — soaring inflation, the pending effects of nearly $1 trillion in nationwide federal health care cuts, increased regulatory pressures, and more — all eyes are on the Centers for Medicare & Medicaid Services (CMS), where California’s submission for the next Hospital Fee Program is currently under review.