California Caps Annual Health Care Spending Growth To 3% By 2029

Between 2024 and 2029, California is implementing a series of benchmarks to cap annual health care spending growth at 3% per year. The benchmark on total cost growth was approved by the state‘s Health Care Affordability Board. The plans were released by the Office of Health Care Affordability (OHCA). In April 2024, HCAI announced that the Board approved the cap on statewide health care cost growth that will be phased-in over time, initially starting at a cap of 3.5% growth for 2025 and 2026. The target will be lowered to 3.2% for 2027 and 2028 before . . .