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26-002 New Transitional Rent Benefit Helps Stabilize Housing for Medi-Cal Members with Behavioral Health Needs

Date: 01/02/26

Up to six months of rental assistance available starting January 1, 2026, for eligible members

Beginning January 1, 2026, eligible Medi-Cal members can receive up to six months of Transitional Rent assistance to support housing stability. This new benefit is designed for individuals with significant behavioral health needs who are experiencing or at risk of homelessness. It helps bridge the gap between vulnerable living situations and long-term housing by supporting members transitioning from institutional care, incarceration or the child welfare system.

Transitional Rent is more than temporary relief – it’s a pathway to lasting housing stability.

Eligibility requirements

To qualify, the member must be enrolled in a Medi-Cal plan with  Health Net and meet all the following criteria:

  • Have a qualifying behavioral health need. 
  • Be experiencing or at risk of homelessness.
  • Be part of a transitioning population (e.g., exiting institutional care, incarceration or child welfare). 
  • Have a Housing Support Plan that confirms a long-term housing funding source (e.g. Behavioral Health Services Act Housing Voucher or other subsidies).

Benefit coverage and limitations

  • Covers up to six months of rental assistance in approved housing settings.
  • Member may not exceed a combined six months of Transitional Rent, Recuperative Care and Short-Term Post-Hospitalization housing within a rolling 12-month period.1
  • Initial services may include Housing Deposits Community Support to recover costs not included in Transitional Rent.

Approved housing settings

Transitional Rent may be used in permanent, interim or blended housing arrangements:

Permanent housing options:

  • Apartments, duplexes, single-family homes
  • Mobile home communities, accessory dwelling units (ADUs), shared housing
  • Permanent supportive housing (project-based or scattered-site)
  • Single room occupancy units, tiny homes, recovery housing, license-exempt room and board

Interim housing options:

  • Single room occupancy units, tiny homes, hotels/motels (as primary residence)
  • Small-occupancy transitional or recovery housing
  • Small number of individuals per room (not large dormitory sleeping halls)

Note: Housing availability varies by county and is subject to local supply.

Automatic authorization for ECM and Housing Trio services

When Transitional Rent is approved, Health Net will also authorize:

  • Enhanced Care Management (ECM)
  • Community Supports Housing Trio:
    • Housing Navigation or Tenancy Support
    • Housing Deposits
    • Housing Transition and Stabilization Services

These services help members secure and maintain long-term housing after Transitional Rent ends, while ECM connects them to health and social supports.

Requesting services

Prior authorization is required for Transitional Rent. To request authorization, submit a Transitional Rent Authorization Form along with the required supporting documentation online on the provider portal or via fax to 800-743-1655. The turnaround time for a routine request is seven calendar days.

Examples of supporting documentation include, but are not limited to:

  • Housing Support Plan
  • Lease agreement
  • Interim housing agreement
  • Behavioral health eligibility confirmation
  • Long-term subsidy

Find the latest guides and referral forms

The Transitional Rent authorization guide and authorization form will be available starting January 1, 2026. Visit the CalAIM Resources for Providers page. Go to Forms & Tools > Community Supports (CS) to access the most up-to-date guides and forms.

Refer members to Member Services

For questions or assistance about Transitional Rent services, direct members to Member Services using the phone number on the back of their ID card.

Need help? Contact us

Relevant sections of Health Net’s provider operations manuals have been revised to reflect the information contained in this update as applicable. Provider operations manuals are available electronically in the Provider Library on Health Net’s provider portal.

If you have questions regarding the information contained in this update, contact the Health Net Provider Services Center by email, by phone at 800-675-6110 or through the Health Net provider portal. Behavioral health providers can call 844-966-0298.

1For more information, refer to the Community Supports Policy Guide Volume 2, Date April 2025, available on the California Department of Health Care Services website.

 

This information applies to Physicians, Participating Physician Groups (PPGs), Hospitals, Ancillary Providers, Community Supports (CS) Providers, Enhanced Care Management (ECM) Providers, and Behavioral Health Providers.

For Medi-Cal, this information applies to Amador, Calaveras, Inyo, Los Angeles, Mono, Sacramento, San Joaquin, Stanislaus, Tulare and Tuolumne counties.



Last Updated: 12/31/2025