HCS rates in Texas for 2026: how they work and where to find them

Updated September 23, 2026By the Sereniq team7 min read

The short answer

HCS payment rates in Texas are set by the HHSC Provider Finance Department and vary by service and, for residential, host home, and ISS services, by level of need. The table in effect as of September 2026 took effect Sept. 1, 2025. It lists residential support at $164.46 per day for LON 1 and $341.83 for LON 9.

Who sets HCS rates in Texas?

The Texas Health and Human Services Commission (HHSC) sets HCS payment rates through its Provider Finance Department (PFD). PFD publishes the current HCS rate table on its Home and Community Based Services page.

HHSC says adopted rates are calculated with established methodologies that follow federal Medicaid law, the Texas Medicaid State Plan, and state rules, and that adopted rates are limited to available appropriations. The HCS methodology is in 1 TAC Chapter 355, Subchapter F, Sections 355.723 to 355.725, and the attendant cost component is in Section 355.7052.

Proposed Medicaid rate changes go through public notice and a public hearing, as Texas Human Resources Code Section 32.0282 requires. PFD posts proposed rate packets on its Rate Packets page.

Because HCS is a 1915(c) waiver, a rate change also needs a waiver amendment approved by the Centers for Medicare & Medicaid Services (CMS). HHSC notes that CMS cannot approve waiver amendments retroactively.

Why do HCS rates vary by level of need?

HHSC pays more for individuals who need more support. Under the HCS Program Billing Requirements, the level of need (LON) sets reimbursement for residential support, supervised living, host home/companion care, and individualized skills and socialization (ISS).

The LON comes from the ICAP assessment and selected items on the ID/RC Assessment (Form 8578). There are five levels: LON 1 (Intermittent), LON 5 (Limited), LON 8 (Extensive), LON 6 (Pervasive), and LON 9 (Pervasive Plus).

Most other HCS services, such as nursing, behavioral support, and therapies, are priced by level of care (LOC 1 or LOC 8) instead. On the Sept. 1, 2025 table, employment readiness is also priced by LON.

What changed in HCS rates on Sept. 1, 2025?

HHSC raised attendant payment rates in HCS and other programs effective Sept. 1, 2025, under Information Letter 2025-17. The increase funds an average attendant wage of $13.00 per hour, as directed by Rider 23 of the 2026-27 General Appropriations Act.

The same letter raised payroll taxes and benefits to 15 percent for services in residential settings and 14 percent for non-residential settings, and added $0.24 per attendant hour to the administrative rate.

Information Letter 2025-21 (Aug. 28, 2025) confirmed that CMS approved the HCS waiver amendment. It lists the HCS services affected, including residential support (service code 46), supervised living (47), ISS (23), employment services, hourly respite, supported home living transportation, and CFC PAS/HAB.

The same letter ended the Attendant Care Rate Enhancement (ACRE) program on Sept. 1, 2025. IPCs with certain CDS services had to be revised to the new rates, with all revisions due by Jan. 31, 2026. It also raised the individual cost limits by LON.

Where do you find the official HCS rate table?

The official table is on the HHSC Provider Finance Department's Home and Community Based Services page. As of September 2026, that page lists the table effective Sept. 1, 2025, as the current HCS payment rates, with older tables below it.

The file is titled "Home and Community-Based Services (HCS) Waiver Program, Payment Rates Effective September 1, 2025." The page also links earlier tables (Jan. 1, 2025; Sept. 1, 2024; Sept. 1, 2023; and Jan. 1, 2023), the HCS rate model, and cost report information.

Rates change. Before you budget, quote, or check a remittance, open the PFD page and confirm which table is current. The figures in this guide are only a snapshot of the Sept. 1, 2025 table.

What are the HCS residential support and supervised living rates?

On the table effective Sept. 1, 2025, residential support and supervised living pay the same daily rate at each LON. The rate runs from $164.46 per day at LON 1 to $341.83 per day at LON 9.

Each rate is the total of attendant cost, other direct care cost, and indirect care cost. For example, the LON 1 rate of $164.46 is $91.94 attendant, $8.08 other direct care, and $64.44 indirect care.

LON 1 (Intermittent): $164.46 per day
LON 5 (Limited): $176.62 per day
LON 8 (Extensive): $194.31 per day
LON 6 (Pervasive): $223.81 per day
LON 9 (Pervasive Plus): $341.83 per day
Source: HHSC PFD, HCS Payment Rates Effective September 1, 2025 (service codes 46 and 47)

What are the HCS host home and ISS rates?

On the same Sept. 1, 2025 table, host home/companion care pays $72.56 per day at LON 1 and $147.84 per day at LON 9. On-site ISS pays $7.82 per hour at LON 1 and $26.41 per hour at LON 9.

Off-site ISS has its own rates, which include a transportation cost, plus higher rates for enhanced staffing levels. Base off-site ISS is $10.73 per hour at LON 1 and LON 5, $16.80 at LON 8 and LON 6, and $26.41 at LON 9.

Host home/companion care (service code 18A), per day: LON 1 $72.56; LON 5 $76.14; LON 8 $94.07; LON 6 $119.18; LON 9 $147.84
On-site ISS (service code 23), per hour: LON 1 $7.82; LON 5 $8.78; LON 8 $10.98; LON 6 $10.98; LON 9 $26.41
Source: HHSC PFD, HCS Payment Rates Effective September 1, 2025

How do you read the HCS rate table?

Each row is one billable service at one LON or LOC. Read across for the service group, service code, bill code, the cost parts, the total rate, and the unit, which is usually one day or one hour.

The bill codes on the table match HHSC's HCS and TxHmL Bill Code Crosswalk, which the table links. Use the crosswalk when you set up billing, because one service can have several bill codes by LON, setting, or delivery option.

The total column is the rate per unit. The cost columns (attendant, other direct care, indirect or administrative, facility, and transportation) show how HHSC built the rate.

The rate is only half the math. What you can bill also depends on the units authorized on the individual's IPC and on written documentation that proves each unit was delivered.

Does Sereniq bill HCS or calculate rates?

No. Sereniq does not submit claims, calculate rates, or connect to TMHP or EVV. Sereniq is the documentation system of record that keeps the service logs and daily records behind every unit your billing team submits.

DSPs write notes on their phones, and Sereniq turns them into the Form 4119 service delivery log for residential support and supervised living, or the Form 4122 log for host home/companion care. For ISS, Sereniq prints the Form 8615 log. Census shows who was present each day; Sereniq does not calculate billable days.

For what each log must include to support a claim, read the HCS billing documentation guide.

Frequently asked questions

What are the HCS rates for 2026 in Texas?

As of September 2026, the HHSC Provider Finance Department lists the HCS table effective Sept. 1, 2025, as current. On it, residential support and supervised living pay $164.46 to $341.83 per day depending on level of need. Rates change, so check the PFD page before you rely on any figure.

What is the HCS residential support rate?

On the table effective Sept. 1, 2025, residential support pays $164.46 per day at LON 1, $176.62 at LON 5, $194.31 at LON 8, $223.81 at LON 6, and $341.83 at LON 9. Supervised living pays the same daily rates.

Who sets HCS reimbursement rates?

The Texas Health and Human Services Commission sets them through its Provider Finance Department, using the methodology in 1 TAC Chapter 355. Rate changes to the HCS waiver also need approval from CMS.

Did HCS rates go up in 2025?

Yes. Under Information Letter 2025-17, HHSC raised attendant payment rates effective Sept. 1, 2025, to support an average attendant wage of $13.00 per hour. Information Letter 2025-21 confirmed CMS approved the HCS waiver amendment.

Why is my HCS rate different for each individual?

Residential support, supervised living, host home/companion care, and ISS are paid by level of need. Each individual's LON comes from the ICAP and the ID/RC Assessment (Form 8578), so two individuals in the same home can have different daily rates.

Does Sereniq bill HCS services?

No. Sereniq does not submit claims, calculate rates, or connect to TMHP or EVV. It keeps the Form 4119, 4122, and 8615 logs, notes, MAR, and census records that support the units your billing team submits.