Community Hub

What owners ask us about the waiver programs

Plain answers on what the programs pay, who qualifies, where they operate, and why claims get denied. Every card points to the official DHCS source. We keep it current because we work in it every week.

The programs

What the Assisted Living Waiver pays, and for whom

Assisted Living Waiver

2026 ALW daily rates by tier

Medi-Cal pays the facility a daily rate for each enrolled resident based on the care tier the Care Coordination Agency assigns. The resident pays room and board separately.

Tier2026 per dayPer 30-day month
Tier 1$95.69$2,871
Tier 2$114.33$3,430
Tier 3$132.97$3,989
Tier 4$179.58$5,387
Tier 5$270.80$8,124

Rates effective January 1, 2026. Claims must be billed at the new rate to be paid at it.

Residential Habilitation

RH adds daily hours on top of the ALW rate

Residential Habilitation pays for approved hours of hands-on support each day, at $6.75 per 15 minutes. A resident approved for 12 hours a day adds about $324 per day, or roughly $9,700 a month, to the ALW rate.

  • Hours are approved by the Care Coordination Agency and reassessed periodically
  • Keep the approval notice on file; it is the authorization for every claim
  • Many ALW facilities never apply for RH and leave this revenue on the table
Resident eligibility

Who can enroll in the ALW

  • Age 21 or older
  • Full-scope Medi-Cal with no share of cost
  • Care needs equal to a nursing facility level of care
  • Willing and able to live safely in an RCFE, ARF, or subsidized housing
  • Living in one of the 15 participating counties

Enrollment runs through a Care Coordination Agency. Slots are limited and there is a waitlist, so timing matters.

Where and with whom

Counties, agencies, and the facility's role

Counties

Where the Assisted Living Waiver operates

Fifteen counties: Alameda, Contra Costa, Fresno, Kern, Los Angeles, Orange, Riverside, Sacramento, San Bernardino, San Diego, San Francisco, San Joaquin, San Mateo, Santa Clara, and Sonoma. The current waiver term runs through February 2029.

Care Coordination Agencies

What a CCA does for your residents

The CCA assesses each resident, assigns the care tier, approves RH hours, and confirms ALW enrollment to the facility. They are the first call for any eligibility or tier question, and a good relationship with yours is worth real money.

Becoming a provider

How a facility joins the ALW

RCFEs and ARFs apply to DHCS with their CDSS license, a Medi-Cal provider application, and the ALW provider agreement. Approval makes the facility eligible to accept waiver residents and bill Medi-Cal. We guide this for clients who are not in the program yet.

Getting paid

Why waiver claims get denied, and what it costs to find out late

Denials

The four reasons behind most waiver denials

  • Eligibility not on file for the month. The resident's Medi-Cal or ALW enrollment lapsed, often without the facility knowing.
  • Duplicate claim. The dates overlap something that already paid.
  • Quantity mismatch. The days or hours on the claim do not match the dates billed.
  • Facility details missing. The claim is missing the facility's provider information.

All four are preventable before the claim is sent. That is most of what remittance review is for.

Deadlines

How long you have to bill or fix a claim

Medi-Cal's standard window is six months from the month of service. A denial discovered on a remittance six weeks after the fact has already used a third of it. Claims submitted later need a documented delay reason, and some never recover.

Compliance

What DHCS expects from every ALW claim

DHCS's September 2026 policy letter reminds providers that claims must be for enrolled participants and approved services, use the correct codes, and be supported by internal audits. Overpayments can be recouped and penalties assessed. A clean, reconciled billing record is the best protection.

This hub is general guidance, not advice on a specific claim. Rates and policies change; the linked DHCS and Medi-Cal sources are authoritative. Last reviewed October 2026.

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