Medi-Cal Pilot to Save San Jose Millions

- San Jose launches Medi-Cal reimbursement pilot at three tiny home villages for homeless housing. - Could save city $7-9 million yearly amid $94 million shelter costs and budget shortfall. - Aims to preserve services, expand beds using CalAIM funding. (sanjosespotlight.com)

San José will pilot Medi‑Cal reimbursements at three tiny‑home villages to help offset the city’s shelter operating costs, council staff said. (sanjosespotlight.com) The City Council accepted $1,323,036 in federal PATH CITED funds and committed a $1,323,037 city match to fund CalAIM readiness work. (hoodline.com) The pilot sites named by staff are Cherry Avenue, Evans Lane and the Cerone interim housing community; nonprofits including HomeFirst and PATH will manage services. (hoodline.com) (sanjoseca.gov) City housing officials estimate that, if CalAIM billing is implemented across interim shelters, San José could save about $7 million to $9 million per year. (sanjosespotlight.com) The savings pitch arrives as the city projects $94 million in maintenance and operating costs for 23 temporary housing sites next fiscal year while facing a $56 million budget shortfall. (sanjosespotlight.com) (nbcbayarea.com) PATH CITED is part of California’s CalAIM effort and is intended to fund training, IT upgrades and billing workflows so community providers can deliver and bill for Enhanced Care Management and Community Supports. (calaim.dhcs.ca.gov) (dhcs.ca.gov) If providers become registered CalAIM billers they can seek Medi‑Cal reimbursements for services such as case management, medical care and housing navigation at interim sites. (hoodline.com) (calaim.dhcs.ca.gov) City staff told council the pilot typically takes 12 to 18 months to implement, after which officials will evaluate whether to expand the billing model to more shelters. (hoodline.com) “This could go toward libraries, prevention programs, police officers, firefighters — you name it,” District 8 Councilmember Domingo Candelas said when council discussed reallocating any estimated savings. (sanjosespotlight.com)

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