CA State Budget Issues
CDSA advocates on the state budget every year, starting with the release in January, through the release of the “May revise” and the negotiations between legislative leaders and the governor. We testify at hearings after each budget draft is released, educate legislators and staff, and, with the help of our members, seek legislative champions for our budget asks.
The perennial issue is addressing the inadequate, capped rates for services that depress wages for direct support professionals, block innovation, and slowly strangle services until they close. CDSA has been a leader in virtually every rate increase proposal for decades.
Here are some of the budget priorities over the last few years:
- Implement a 4% annual increase in rates until the State implements the rate study.
- Eliminate the median rate cap, and allow for renegotiation of inadequate reimbursement rates for services.
- Provide rate adjustments for local minimum wage ordinances and other unfunded mandates on providers.
- Provide more transition funding for residential providers, day programs, and employment providers.
- Implement a rate setting approach that comprehensively considers the actual costs to deliver quality community services.
- Approve the new MCO tax (ABX 2-1) and funding for DD service stabilization.
- Keep DC savings and assets in the DDS budget to benefit the community system.
- Provide adequate funding to cover state and local minimum wage increases, wage compression, and the impact on exempt staff.
- Reform the unanticipated rate adjustment process.
- Fund pre-employment and transitional services.