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State officials press need for long‑term care financing as aging population grows
Summary
Department of Health Care Services and the California Department of Aging outlined ongoing state studies and a working definition of the “overlooked middle” — middle‑income older adults who do not qualify for Medi‑Cal yet cannot afford long‑term services — and urged lawmakers to consider a range of financing and program options.
Assembly Budget Subcommittees 1 and 2 convened a joint hearing April 2025 to examine long‑term services and supports (LTSS) financing and the growing number of middle‑income older Californians who lack coverage for in‑home and community‑based care.
At the hearing, Susan Philip, deputy director for Healthcare Delivery Systems at the Department of Health Care Services (DHCS), said Medicare covers only limited short‑term skilled nursing care and that Medi‑Cal remains the primary payer for LTSS in California. Philip noted prior state efforts to study financing options, citing a DHCS actuarial study produced with Milliman in September 2020 and a California Department of Insurance analysis completed in 2022–2023.
Sarah Steen…
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