Navigating HR 1: Impacts on Medi-Cal and CalFresh

Overview: H.R. 1 was signed into law on July 4th, 2025. This bill introduces several federal policy changes that will directly affect eligibility rules, benefit levels, and program operations for both CalFresh and MediCal over the next several years.

Medi-Cal logo

Medi-Cal Changes

The state requires some individuals (listed below) to report asset information when they apply for or renew their Medi-Cal.

  • Adults 65+
  • People with disabilities not eligible under federal tax rules
  • People who live in a nursing home or individuals applying for long-term care services
  • Parents and children who make too much money to qualify under federal tax rules

Important to Know:

  • The new limit is $130,000 for an individual and $195,000 for a couple, with $65,000 added for each additional household member
  • Assets that count include:
    • Bank accounts
    • Cash
    • More than one house or vehicle
  • Assets that don't count include:
    • The home you live in
    • One vehicle
    • Household items
    • Some savings, like retirement accounts
    • If you have Medi-Cal that requires an asset test, we look at what you own at application and every year when you renew
    • Income rules for Medi-Cal have not changed

Some adults will no longer be eligible for full-scope Medi-Cal coverage based on their immigration status.

Who this applies to:

Important to Know:

  • If you already had full-scope Medi-Cal prior to 01/01/2026, you can stay covered no matter your immigration status.
  • To keep your Medi-Cal, you must:
    • Fill out your renewal form as required
    • Meet Medi-Cal eligibility rules (like income and living in California)
  • Renew on time. If you don't, your Medi-Cal could end.
  • If your Medi-Cal ends, you will have a three-month grace period from the last date of eligibility provided on your Notice of Action, to re-enroll into full-scope Medi-Cal
  • If you do not re-enroll by the end of the three-month grace period, you must reapply for Medi-Cal. You will be eligible only for restricted scope Medi-Cal, which covers:
    • Emergency care
    • Pregnancy-related care
    • Nursing home care

Who can still get full-scope Medi-Cal, regardless of immigration status:

  • Children (age 0-18)
  • Pregnant people through the whole pregnancy and up to one year after it ends
  • Former foster youth under age 26, who were in foster care on their 18th birthday

Some Medi-Cal individuals will stop getting full-scope dental services as part of their Medi-Cal coverage. Please see these Frequently Asked Questions for more information.

Who this applies to:

Please see Immigration Status Categories chart to see if you are subject to changes to Dental Coverage.

Important to Know:

You can still get care for emergency dental needs, including:

  • Serious tooth pain
  • Infections
  • Tooth extractions

You will also get full-scope dental if:

  • You are a former foster youth under age 26 who was in foster care on your 18th birthday
  • You are pregnant (and you will get it for one year after your pregnancy ends)

Federal government will change how it classifies some immigration statuses based on your legal standing in the U.S.

Who this Applies to:

You may be affected if you get Medi-Cal and are:

  • A refugee or asylee - someone who left their home country for safety and don't yet have a Green Card
  • A humanitarian parolee - someone allowed into the U.S. for urgent reasons for at least one year
  • A survivor of domestic violence or human trafficking, and you have a pending status

Some adults will need to work or volunteer or go to school to get to keep Medi-Cal. If this applies to you, the county Medi-Cal office will send you a letter.

Who this applies to:

Medi-Cal individuals and people applying for Medi-Cal who are:

  • Adults (age 19-64)
  • Are eligible for Medi-Cal because of the Affordable Care Act expansions
  • Don't meet any of the exemptions listed directly below

Exemptions:

These new work or volunteer rules do not apply to:

  • Children (0-18)
  • Older adults (65 and older)
  • Pregnant people, including one year postpartum, regardless of birth outcome
  • Parents with children (age 0-13)
  • People with disabilities
  • People with serious health or mental health conditions or substance use problems
  • People who were released from jail or prison within the last 90 days
  • People on Medicare Part A or Part B
  • American Indians or Alaska Natives
  • Former foster youth under age 26, who were in foster care on their 18th birthday

Your county Medi-Cal office will send you a letter to let you know if you must comply with work requirements, or if other information is needed from you to demonstrate that you meet one of these exemptions.

Important to Know:

Individuals must do one or more of the following:

  • Work at a job and get paid
    • Earn at least $580 a month from working
    • Be a seasonal worker (someone who only works during certain of the year) and make an average of $580 a month over the last six months
  • Be in a job training program (that helps you learn skills to get a job) for at least 80 hours per month
  • Volunteer or do community service for at least 80 hours per month. This should be organized and something you can prove you did with a letter or form
  • Go to school at least half-time. This usually means taking two or three classes or about six to eight credits each semester
  • Do a mix of the things listed above for a total of at least 80 hours per month, or at least $580 per month

If you are required to work or volunteer under these new rules and do not meet the rules, you could lose your Medi-Cal. When you get a letter from Medi-Cal county office, open it right away and respond quickly to show how you are meeting the work rules. Medi-Cal will send more information before this rule starts, including ways to help you meet the rules.

Some Medi-Cal individuals will have their eligibility checked twice a year instead of once annually

Who this applies to:

  • Adults (age 19-64) who are eligible only due to Affordable Care Act expansions

Exemptions:

These individuals will continue with once-a-year renewals:

  • Members in a Medi-Cal program that is not under the Affordable Care Act new adult group
  • Pregnant or postpartum individuals
  • Alaska Native or American Indian members
  • Former foster youth under age 26, who were in foster care on their 18th birthday

Important to Know:

  • You may need to renew your Medi-Cal every six months
  • Missing deadlines could cause loss of coverage
  • If you are exempt, you may still need to renew your Medi-Cal once a year

Medi-Cal will pay for fewer months of past medical bills from before you applied

Who this applies to:

  • Adults (age 19-64)

If this applies to you, Medi-Cal will send you a letter

Important to Know:

New rule:

  • Adults (19-64) in the MAGI New Adult Group: Medi-Cal will only pay for one month of past bills
  • All others: Medi-Cal will pay for two months of past bills

Some Medi-Cal individuals will need to pay a small monthly fee (called a premium) to keep their full-scope Medi-Cal.

Who this applies to:

Please see Immigration Status Categories chart to see if you must pay Monthly Premiums

Important to Know:

If this change applies to you, you will need to pay a small fee each month to keep your full Medi-Cal

If you don't pay, your Medi-Cal will change

You will only get restricted Medi-Cal, which covers:

  • Emergency care
  • Pregnancy-related care
  • Nursing home care

You will not have to pay a premium if you are:

  • A former foster youth under age 26 and were in foster care on your 18th birthday
  • You are pregnant, and for one year after your pregnancy ends

Some adults on Medi-Cal may have to pay a small fee (called a copayment) for certain services

Who this applies to:

Medi-Cal individuals who:

  • Are adults (age 19-64)
  • Are not pregnant, (Pregnancy coverage lasts through your whole pregnancy and up to one year after it ends.)
  • Are not on Medicare
  • Make more than $15,560 a year

Important to Know:

You might have to pay a small fee for some health care, like seeing a specialist doctor and getting certain treatments or tests

There will be copays for:

  • Services at community health centers or rural health clinics
  • Emergency care
  • Regular checkups
  • Prenatal care (care during pregnancy) and pediatric care (care for children)
  • Mental health and substance use disorder treatment

Visit DHCS Medi-Cal changes toolkit

calFresh logo

CalFresh Changes

Implemented changes to how utility costs are counted for some CalFresh recipients limiting State Utility Assistance Subsidy (SUAS) to certain households

Who this applies to:

If your household includes the following you could still be eligible to the annual SUAS payment:

  • Individuals over age 60
  • Disabled

Important to Know:

If your household includes a member over age 60 or with a disability, report heating or cooling costs and if you pay them separately from rent or mortgage you will continue to receive the Standard Utility deduction through SUAS

If your household includes a member over age 60 or with a disability may see reduced CalFresh benefits or may lose eligibility if you do not pay for heating or cooling costs separately AND previously relied on SUAS to qualify for the Standard Utility deduction

The Federal government changed how it classifies some immigration statuses based on your legal standing in the U.S. limiting CalFresh to certain groups of noncitizens.

Who this applies to:

You may be affected if you get CalFresh and are:

  • refugee or asylee - someone who left their home country for safety and don't yet have a Green Card
  • parolee (unless you are a Cuban and Haitian Entrant)  - someone allowed into the U.S. for urgent reasons for at least one year
  • survivor of domestic violence or human trafficking, and you have a pending status
  • An individual with deportation or removal withheld
  • A conditional entrant
  • Iraqis and Afghans with Special Immigrant Visas (SIVs)
  • Certain Afghan nationals granted parole between July 31, 2021, and September 30, 2023;
  • Certain Ukrainian nationals granted parole between February 24, 2022, and September 30, 2024

Important to Know:

If this change applies to you:

  • If you are currently receiving CalFresh and will be impacted by these changes, your benefits will be re-evaluated at next recertification
  • If your immigration status is adjusted to a qualifying status, such as LPR, you may be eligible for CalFresh
  • Certain lawfully present noncitizens may qualify for California Food Assistance Program (CFAP) benefits under current state law

Some adults receiving CalFresh will need to work or volunteer or participate in training at least 80 hours\month or face a 3-month limit in a 3-year period. If this applies to you, the county office will send you a letter

Who this applies to:

Individuals in current receipt of CalFresh and those applying for CalFresh who are:

  • Adults (age 18-64)
  • Don’t meet any of the CalFresh exemptions listed directly below

Exemptions:

These new work requirements do not apply to:

  • Children (0–17)
  • Older Adults (64 and older)
  • Pregnant individuals
  • Parents responsible for the care of a child age 0-13
  • Individuals physically or mentally unfit for employment
  • Identify as Indian, Urban Indian, or California Indian under the Indian Health Care Improvement Act (IHCIA)
  • Those who are participating in an Office of Refugee Resettlement (ORR) training program at least half time
  • Those who qualify as excused from the CalFresh work registration requirement, include:
    • People with disabilities
    • Under age 16
    • Caring for a dependent child age 0-5
    • Caring for a person with a disability
    • Individual earning at least $217.50 per week (before taxes)
    • Individual receiving or applying for unemployment benefits
    • Individual receiving or applying for disability benefits
    • Individuals attending school, college, or a training program at least half time-This usually means taking two or three classes or about six to eight credits each semester
    • Individuals meeting the work requirement for another program (CalWORKs)
    • Individuals enrolled in a drug or alcohol abuse treatment program

Your county office will send you a letter to let you know if you must comply with work requirements, or if other information is needed from you to demonstrate that you meet one of these exemptions

Important to Know:

Individuals must do one or more of the following:

  • Work at least 20 hours per week or 80 hours per month
  • Participate in qualifying work activities for at least 20 hours per week (80 hours averaged monthly), including:
    • Community service or volunteer work-Volunteer or do community service for at least 80 hours per month. This should be organized and something you can prove you did with a letter or form
    • A Workforce Innovation and Opportunity Act (WIOA) program-Be in a job training program (that helps you learn skills to get a job) for at least 80 hours per month
    • Qualifying CalFresh Employment & Training (CFET) components
    • A program under Section 236 of the Trade Act of 1974

If you are required to meet these new rules and do not meet the rules, you could lose your CalFresh benefits. When you get a letter from county office, open it right away and respond quickly to show how you are meeting the work rules