This bill mandates the Health Care Authority to establish a minimum Medicaid fee schedule for reimbursing personal care services, specifically setting rates at $23.50 per hour for consumer-delegated services and $19.78 per hour for consumer-directed services. It requires that at least seventy percent of the Medicaid reimbursement received by personal care services provider agencies be allocated towards direct care workforce expenditures, which include wages, employee-related expenses, and training costs for direct care workers. The bill also stipulates that provider agencies must maintain accounting records to demonstrate compliance with this requirement and make them available to the authority upon request.

Additionally, the bill includes an appropriation of $51.4 million from the general fund to the Health Care Authority for the fiscal year 2027. This funding is intended to support the implementation of the updated Medicaid personal care services fee schedule and to enhance reimbursement rates for these services. Any unspent funds at the end of the fiscal year will revert back to the general fund.