Bill
AB 2240
AB 2240 designates private duty nursing for Medi-Cal children under 21 as “specialty care,” and requires an EPSDT-focused assessment on hours provided vs. authorized and adequacy o
Proposed by Assembly Member Stefani (co-sponsored by Catherine Stefani)
Jurisdiction: California
Session: 2025–2026 Regular Session
Introduced: February 19, 2026
Status: As of the latest available actions, re-referred to Committee on Health (April 20, 2026) after amendments and multiple hearings.
Purpose of the bill
- AB 2240 would clarify and expand the treatment of private duty nursing (PDN) services within California’s Medi-Cal program, focusing on services provided to children under 21.
- It designates PDN provided by a home health agency as “specialty care” for Medi-Cal reimbursement purposes, and it requires an assessment and reporting obligation related to EPSDT PDN services to ensure compliance with federal Medicaid requirements.
Key provisions and changes
1) New designation for PDN as specialty care (Medi-Cal reimbursement)
- Section 1743.2 is amended to redefine PDN services. PDN is described as skilled nursing services provided on a shift basis for patients who require individual and continuous nursing care.
- PDN may be provided by a registered nurse or licensed vocational nurse, with medical orders under the supervision of a licensed practitioner as appropriate.
- PDN must occur in the patient’s residence or another community-based setting, including the patient’s home or otherwise necessitated by normal life activities.
- Crucially, PDN services provided to a child under 21 by a home health agency would be considered “specialty care” for purposes of Medi-Cal reimbursement under the Medi-Cal Act. This designation applies to the Medi-Cal Act provisions but explicitly does not apply to reimbursement under the Protect Access to Health Care Act of 2024 (Proposition 35) provisions.
2) EPSDT-focused assessment and reporting requirement
- New Welfare and Institutions Code Section 14149.96 requires the Department of Health Care Services (DHCS) to measure and assess whether PDN provided as part of EPSDT (Early and Periodic Screening, Diagnostic, and Treatment) complies with federal Medicaid requirements.
- The assessment must include:
- A comparison of hours of EPSDT PDN authorized by Medi-Cal to the hours actually provided to eligible beneficiary children.
- An evaluation of whether current reimbursement rates are sufficient to ensure all authorized hours can be provided.
- DHCS must prepare and submit a report detailing the assessment findings to the Legislature by March 1, 2027, in compliance with Government Code Section 9795.
3) Reimbursement framework adjustments
- By designating PDN as specialty care for children under 21, AB 2240 would align PDN reimbursement considerations with the specialty care framework under the Medi-Cal Act. The bill clarifies that this designation does not extend to reimbursement under the Prop. 35 framework (Protect Access to Health Care Act of 2024).
4) Definitions and scope
- The bill preserves existing definitions of private duty nursing agency and private duty nursing services (as previously defined) but clarifies their application to the EPSDT benefit for children under 21.
- It maintains the overall framework for PDN delivery in home and community-based settings.
Who would be affected
Timelines and procedural aspects
Overall impact
Compiled from official sources — confirm details with the bill’s official record.
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