Texas lawmakers approved a state budget on May 31, 2025, that raises the base wage for Medicaid-funded personal care "community attendants" to $13 an hour, spending nearly $1 billion in state general revenue, the Texas Tribune reported. The House had proposed a base wage above $14 before the chambers met in the middle.
What the raise covers
The Houston Chronicle reported that the increase also applied to staff who support about 15,000 Texans living in small residential settings under a Medicaid waiver, raising their base wage from $10.60 to $13 an hour. State Rep. Angelia Orr had sought $17.50 in a budget rider, the paper reported. Orr said the $2.40 increase would cost about $1 billion in state funds and $2.4 billion in total state and federal spending over the 2026-27 budget.
Why this mattered for providers and DSPs
A higher wage floor helps only if it keeps up with competing jobs. Provider agencies and advocates told the Chronicle that $13 was still not enough to recruit and keep staff when retail and fast-food jobs paid more. For DSPs and attendants who had earned $10.60, the raise was substantial, but providers warned it would not stop group home closures. Weeks later, a major Houston-area provider said it was closing all 14 of its group homes.