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Committee advances health trailer bill to expand 988 oversight and create state dialysis program

Senate Committee on Budget and Fiscal Review · August 31, 2026

Summary

The committee passed AB 173, which the Department of Finance said expands DHCS oversight of Medi‑Cal providers, strengthens 988 crisis‑line interoperability and establishes a state‑only outpatient dialysis program effective Oct. 1. Health advocates praised dialysis funding for undocumented Californians.

The Senate budget committee voted to pass AB 173, a health trailer bill that the Department of Finance said expands Department of Health Care Services oversight of Medi‑Cal providers and implements changes to the 988 suicide and crisis lifeline, including interoperability protocols between 9‑1‑1 and 9‑8‑8.

Erica Lee of the Department of Finance described the proposal and its effective dates: “It expands the Department of Health Care Services oversight of Medi Cal providers” and “it establishes a state only dialysis program to provide outpatient maintenance dialysis and restricted scope medical effective October 1 of this year.” Public health advocates welcomed the dialysis funding: Christine Smith of Health Access California said, “We appreciate the legislature allocating funding to allow undocumented people on restricted scope medical who need dialysis to get this much needed care.”

The committee recorded the bill’s passage on roll call and sent it to the Senate floor for further consideration and implementation detail work with administering agencies.

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