California SB125 imposes a Medi-Cal managed care organization provider tax to fund Medi-Cal program.

California SB125 creates a Medi-Cal managed care organization provider tax to fund the Medi-Cal program. The tax is imposed on health plans for the 2027, 2028, and 2029 calendar years. The tax amount is $8.85 per countable enrollee per month, unless modified. The tax is subject to federal approval and certain federal Medicaid requirements. The tax revenue is deposited in the Medi-Cal Stability Fund to support Medi-Cal program, prioritize administrative costs, increased capitation payments, and Medi-Cal managed care rates.

California SB125 imposes a Medi-Cal managed care organization provider tax to fund Medi-Cal program.

California SB125 creates a Medi-Cal managed care organization provider tax to fund the Medi-Cal program. The tax is imposed on health plans for the 2027, 2028, and 2029 calendar years. The tax amount is $8.85 per countable enrollee per month, unless modified. The tax is subject to federal approval and certain federal Medicaid requirements. The tax revenue is deposited in the Medi-Cal Stability Fund to support Medi-Cal program, prioritize administrative costs, increased capitation payments, and Medi-Cal managed care rates.