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by Marissa Shaw | May 29, 2024

Gavin Newsom’s 2024 Cuts to IHSS: A Blow to Vulnerable Californians

Governor Gavin Newsom’s proposed 2024-25 California state budget has raised significant concerns due to its impact on critical safety net programs. While the budget shortfall is projected to be $44.9 billion, the governor’s approach to addressing it includes cuts that disproportionately affect low-income Californians. One of the most concerning areas is the reduction in funding for In-Home Supportive Services (IHSS), a lifeline for seniors and people with disabilities.

Image via,  Wikimedia

Understanding the May Revision

The May Revision, released on May 10, 2024, updates the governor’s economic and revenue outlook. It adjusts proposed expenditures, revises policy initiatives, and outlines adjustments to education funding required by Proposition 98. The budget shortfall is primarily a result of lower state revenues due to the economic impact of the COVID-19 pandemic and stock market declines. The governor’s proposed solutions include partial use of reserves, spending cuts, and delays in authorized spending.

The Impact on IHSS

  1. Exclusion of Undocumented Individuals: Despite historic investments in Medi-Cal expansions, the May Revision proposes treating people who were previously excluded due to their immigration status differently. Specifically, IHSS services for those who were previously excluded will face a reduction of $94.7 million. IHSS plays a crucial role in helping seniors and people with disabilities safely stay in their homes.
  2. Managed Care Organization (MCO) Tax: The budget sweeps $6.7 billion over multiple years from Medi-Cal provider rate increases, workforce funding, and equity payments. Additionally, an amendment proposes including Medicare health plan revenue, resulting in an additional $9.7 billion in total MCO Tax funds. However, the related November ballot initiative raises uncertainty, potentially diverting funds and leading to future cuts.
  3. Acupuncture Benefit Elimination: Acupuncture as a Medi-Cal benefit will be eliminated starting January 2025, resulting in a reduction of $5.4 million in this budget year and $13 million ongoing.
  4. Healthcare Workforce Reduction: Various healthcare workforce initiatives, including community health workers, nursing, social work, and mental health services, face elimination, amounting to about $900 million. Delayed programs exacerbate the strain on healthcare services.

Streamlining Home Environment

Governor Newsom’s approach to addressing the budget shortfall through cuts to IHSS and other safety net programs is concerning. Rather than considering additional revenue solutions, these cuts disproportionately affect vulnerable populations. The shortsightedness of this strategy exacerbates wealth inequality and undermines the vision of a California for all.

As Californians, we must advocate for a budget that reflects our shared values, protects the most vulnerable, and ensures that essential services like IHSS remain intact. Let us hold our leaders accountable and prioritize the well-being of our communities.

Take Action

Made possible by, caringacross.org

If you want to prevent cuts that would drastically hinder IHSS's ability to provide service to vulnerable Californians. There are multiple rallys and events you can show your support at.

  • Call-In Day: May 30th, 10-11 AM; register Register to Attend 
  • Call-In Day/Quarterly LTSS4All Meeting: June 5th, 12 PM - 1 PM; link can be found here Register to Attend 
  • LA Rally, June 6th, 11 AM (current flyer attached and registration here) Register to Attend
  • SF Rally, Date: TBD (stay tuned if you’re interested in supporting!)

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