CA AB2303

Requires the State Department of Health Care Services to develop a minimum wage add-on as an alternative payment methodology to increase reimbursement rates for covered health care facilities to account for minimum wage requirements under Labor Code Section 1182.14.

Applies the minimum wage add-on retroactively to January 1, 2025, and continues until minimum wage costs are included in the facility's prospective payment system rate.

Mandates the department consult with covered health care facilities during development and implementation of the add-on methodology.

Requires the department to seek all necessary federal approvals and amendments to the state Medi-Cal plan, and make any state plan amendments or waiver requests public at least 45 days before submitting to the federal Centers for Medicare and Medicaid Services.

Becomes operative only upon legislative appropriation for the express purpose of implementing the section.