Rate Study Implementation

Pursuant to Welfare and Institutions Code Section 4519.8, the Department of Developmental Services (Department) submitted a rate study addressing the sustainability, quality, and transparency of community-based services for individuals with developmental disabilities to the Legislature in March 2019. Chapter 76, Statutes of 2021 (AB 136, Committee on Budget and Developmental Services) added Welfare and Institutions Code section 4519.10 specifying the timeline for implementation of the rate models proposed in the rate study.

  • Effective April 1, 2022, the department shall implement a rate increase for service providers that equals one-quarter of the difference between current rates and the fully-funded rate model for each provider.
  • Effective July 1, 2023, and continuing through the 2024-25 fiscal year, the department shall adjust rates to equal one-half of the difference between rates in effect March 31, 2022, and the fully-funded rate model for each provider, and additional funding shall be available for the quality incentive program described in subdivision (e).
  • Commencing July 1, 2025, the department shall implement the fully-funded rate models using two payment components, a base rate equaling 90 percent of the rate model, and a quality incentive payment, equaling up to 10 percent of the rate model, to be implemented through the quality incentive program described in subdivision (e).

 

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This section will be updated when information is available.

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Last modified: November 29, 2021