After Washington cut federal Medicaid and CHIP dollars for sex-rejecting procedures on minors, California's Legislature answered by putting more state money behind the same interventions.
On September 1, 2026, the Assembly and Senate enrolled AB 113, an urgency Budget Bill Junior. Item 4140-101-0001, Provision 12 sets aside $9,000,000 for pediatric sex-rejecting procedures for children and youth, with the Department of Health Care Access and Information directed to work with the Department of Health Care Services on Medi-Cal providers and Medi-Cal members. A companion operations line (Item 4140-001-0001, Provision 15) adds $800,000 plus $200,000 for the same children-and-youth purpose.
As of September 7 the enrolled bill was still Active Bill - Passed and not yet chaptered — it awaited the Governor's signature. The federal CMS-2451-F rule remains scheduled to take effect October 13, 2026. Newsom signed AB 113 on 18 September 2026.