Medi-Cal Commerical Managed Care Plan Procurement Update

DHCS will postpone the next commercial Medi-Cal managed care plan (MCP) procurement by at least two years. The next competitive procurement for MCPs will begin no sooner than 2029, with contracts expected to take effect no sooner than 2031. DHCS previously indicated that the re-procurement for commercial MCPs would be conducted once every five years. Under this assumed timeline, DHCS would have had to release the Request for Proposal (RFP) in 2027 for a contract effective date of January 1, 2029. ​ 

The additional time will allow DHCS to focus on critical CalAIM initiatives. It will also help maintain stability for members and support ongoing improvements to care quality and access, while also supporting the long-term success of the Medi-Cal managed care program.  

In accordance with current policy, MCP contracts will be renewed annually following the contractual requirements identified in Exhibit E, 1.1.15 of the 2024 Managed Care Boilerplate Contract. Current MCP contracts will be extended from January 1, 2026, to December 31, 2026, by the established annual process. DHCS remains committed to fostering an inclusive, flexible, and responsive process that supports the Medi-Cal program and ensures continued access to high-quality, equitable care for Californians. ​​