On May 14, the State budget was released and included some bad news, as outlined by Alliance for Justice – serious flaws that moved the state away from the goals of the Masterplan on Aging and the priorities outlined above. We added our name to some good company on a sign-on letter to the Governor.
This document is a collective response from 166 aging and disability organizations opposing the California Governor’s May Revision of the 2026-27 state budget, highlighting proposed cuts and policy changes harmful to vulnerable populations.
Overview of Concerns
- The May Revision proposes over $1 billion in cuts to health and long-term care for older adults and people with disabilities, threatening access and affordability.
- California’s demographic shift predicts 25% of residents will be over 60 by 2030, with many on fixed incomes amid rising inflation.
- The Master Plan for Aging, initiated to improve services, is being rolled back through these budget proposals, undermining years of progress.
Key Policy Proposals Opposed
- Medi-Cal Asset Limit: Reinstating a $2,000 asset limit would force low-income older adults and disabled individuals to impoverish themselves even more to qualify for care, reversing recent policy improvements that expanded access.
- In-Home Supportive Services (IHSS): Proposed cuts shift costs to counties and eliminate backup providers, risking reduced access for low-income seniors and disabled persons, and weakening a cost-effective alternative to institutional care.
- Older Immigrants’ Access: Increasing premiums to $50 and moving over 200,000 humanitarian immigrants to emergency Medicaid coverage threaten essential health services, especially amid federal restrictions and prior cuts.
- PACE Rate Cuts: Lowering payments to PACE providers jeopardizes the stability of community-based, comprehensive care models vital for aging in place, risking workforce and infrastructure stability.
- Adult Protective Services: Raising the eligibility age from 60 to 65 reduces protections for at-risk older adults, decreasing safety and support.
- Housing and Homelessness: The budget lacks sufficient funding for affordable housing and homelessness prevention programs, critical as older adults face homelessness at increasing rates. Funding for programs like HomeSafe should be made permanent.
The Overall Message to State Policymakers (that could very well be stressed in this budget year to the Mayor and local policy makers.)
- The organizations emphasize that demographic changes demand increased investment, not cuts, to maintain health, safety, and dignity for aging Californians.
- They advocate for raising revenue rather than reducing services, urging the state to defend and expand benefits and health care access for vulnerable populations.
- The letter concludes with a call to the legislature and administration to prioritize policies that protect and support older adults and people with disabilities, aligning with the goals of the Master Plan for Aging.