Welfare and Institutions Code section 4418.05
(a)
It is the intent of the Legislature to provide individuals served in facilities operated by the department with prompt access to essential goods and services and provide continuity of care by authorizing direct care purchases.(b)
Notwithstanding any other law, for facilities operated by the department, the department may make direct care purchases in individual amounts of less than ten thousand dollars ($10,000) commencing with the 2026–27 fiscal year. The dollar amount limit shall be adjusted every July 1 thereafter for that fiscal year by the most recently available changes in the California Consumer Price Index, as calculated by the Department of Finance.(c)
Direct care purchases made pursuant to this section shall be exempt from the procurement requirements contained in the Public Contract Code and the State Administrative Manual, and from approval by the Department of General Services.(d)
The department shall establish and maintain a written policy and procedures manual to guide the implementation of this section. The manual shall include, but not be limited to, appropriate oversight, internal controls, and the provision of public transparency through the Financial Information System for California (FI$Cal), or other reporting system.(e)
For purposes of this section, “direct care purchase” means a good or service necessary for an individual’s health, safety, or continuity of care. These purchases may include, but are not limited to, prescription and medical copayments, pharmacy supplies, over-the-counter health products, nutritional supplements, treatment programs, lodging expenses, groceries and food, clothing, personal hygiene materials, furniture, home goods, educational and technology devices and services for the use of individuals receiving care, and fitness and recreational equipment.
Source:
Section 4418.05, https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=WIC§ionNum=4418.05. (updated Jul. 13, 2026; accessed Jul. 20, 2026).
