On September 18, 2026, California Governor Gavin Newsom signed AB 113 (Budget Act of 2026), according to the Governor’s official legislative update.
The enrolled bill’s Item 4140-101-0001, Provision 12 sets aside $9,000,000 from Schedule (2) “to support gender-affirming care services for children and youth.” The Department of Health Care Access and Information (HCAI) must work with the State Department of Health Care Services (DHCS) and stakeholders — including Medi-Cal providers offering those services and Medi-Cal members seeking them. A companion operations line, Item 4140-001-0001, Provision 15, puts $800,000 from Schedule (2) and $200,000 from Schedule (4) toward the same children-and-youth purpose and toward carrying out Provision 12.
After CMS cut federal Medicaid and CHIP payment for sex-rejecting procedures on minors (the final rule is scheduled to take effect October 13, 2026), California put state money behind continuing those interventions for children and youth. The bill’s own words are “gender-affirming care services.”
The June 2026 Transgender Health Care Fund in the main budget is a separate appropriation.
Primary sources
- Governor Newsom legislative update, Sept. 18, 2026 — AB 113 signed
- Enrolled AB 113 text, California Legislature
Related: CMS final rule ending federal Medicaid/CHIP funding and the earlier enrolled-text story, California Enrolls $9 Million….