ARTICLE 5.5. Grants-in-Aid Program [1588. - 1589.5.]

Cal. Health and Safety Code - HSC 5.5.

in effect

Cal. Health and Safety Code - HSC § 1588. Section 1588.

(a) The state department shall, subject to the availability of funds appropriated therefor, conduct a grants-in-aid program for the following purposes: (1) To assist in the establishment of new adult day health care centers. (2) To assist in stabilizing or expanding the health care operations of adult day health care centers which have been licensed for a period of two years or less. (3) To assist in expanding the health care operations of adult day health care centers which have been licensed for a period of two years or more when identified expansion meets criteria outlined in the specific guidelines established for the grant-supported activities. Expansion under this paragraph shall be based on documented unmet need. (b) The grants authorized pursuant to this article shall be limited in purpose to defraying operating expenses of the center, including staffing costs, required renovation costs, and facility rental costs.

Cal. Health and Safety Code - HSC § 1588.2. Section 1588.2.

Eligibility for grants pursuant to this article shall be limited to any public or private nonprofit agency. As a condition of making a grant, the director shall require the applicant to match not less than 20 percent of the amount granted. The required match may be cash or in-kind contributions, or a combination of both. In-kind contributions may include, but shall not be limited to, staff and volunteer services.

Cal. Health and Safety Code - HSC § 1588.3. Section 1588.3.

The grant amount available from funds appropriated through the Budget Act for the Adult Day Health Care Program shall not exceed one hundred twenty-five thousand dollars ($125,000) for a single project.

Cal. Health and Safety Code - HSC § 1588.5. Section 1588.5.

In developing policies and priorities pertaining to the allocation of grant funds, the department shall give primary consideration to the following factors: (a) The applicant’s immediate need for funds. (b) The demonstrated community support for the project. (c) The applicant’s long-term prospects for financial stability. (d) The applicant’s demonstrated marketing strategies. (e) The applicant’s ability to provide innovative services and to coordinate with other services in the continuum of care. (f) Special consideration shall be given to an applicant who is in one or more of the following categories: (1) Applicants in rural areas. (2) Applicants in counties where there are no other centers or in areas where there are no other centers within one hour driving time from the proposed site. (3) Applicants who will deliver services in an area with a high elderly ethnic minority population when compared to the total elderly population of the area. (4) Applicants who will deliver services in an area with a high percentage of elderly Medi-Cal beneficiaries when compared to the total elderly population of the area.

Cal. Health and Safety Code - HSC § 1588.7. Section 1588.7.

(a) The department, unless otherwise specified in the interagency agreement entered into pursuant to Section 1572 or pursuant to annual Budget Act requirements, shall adopt specific guidelines for the establishment of grant-supported activities, including criteria for evaluation of each activity and monitoring to assure compliance with grant conditions and applicable regulations of the department. Funds shall be awarded only after the applicant’s proposal is approved by the department or the California Department of Aging pursuant to the guidelines established for these grants. (b) The department, unless otherwise specified by annual Budget Act requirements, shall develop a contract with each selected project.

Cal. Health and Safety Code - HSC § 1589. Section 1589.

Subject to the appropriation of funds pursuant to the annual Budget Act, the department may establish planning and development grants for public or private nonprofit applicants that request assistance in conducting feasibility and needs analysis for new adult day health care centers.

Cal. Health and Safety Code - HSC § 1589.5. Section 1589.5.

State administrative costs on grants issued pursuant to this article shall not exceed 10 percent of the amount of the grants.

Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026