Gov. Newsom celebrates huge win after securing federal approval for $5 billion BH-CONNECT mental health initiative
Sacramento, California – Governor Gavin Newsom said this week that the state has effectively obtained federal approval for the Behavioral Health Community-Based Organized Networks of Equitable Care and Treatment (BH-CONNECT) demonstration waiver, thus benefiting Californians suffering with behavioral health problems. With this important approval from the Centers for Medicare & Medicaid Services (CMS), the state’s efforts to restructure its mental health system will advance significantly.
Governor Newsom, who recently traveled to Washington, D.C. to push for this approval, shared his enthusiasm about the news.
“Californians will soon have more support and more people providing support thanks to the approval by the Biden-Harris Administration of California’s innovative efforts to transform our state’s mental health system for better care and a more accountable system in every community,” said Newsom.
The urgent need for enhanced mental health services
With figures suggesting about one in every 26 Californian suffers from severe mental diseases, mental health issues are a common problem in the state. Two-thirds of those with mental health problems reportedly did not receive treatment in 2022. Often struggling with homelessness or moving out of care settings, these untreated people stand to benefit most from the improved services BH-CONNECT offers.
What BH-Connect aims to achieve
The program seeks to significantly alter California’s approach to behavioral health treatment. Through alliances with county behavioral health plans, BH-CONNECT will improve the mental health workforce in the state, encourage tangible outcomes, and fill in important service voids. The proposal calls for a significant federal expenditure of potentially $5 billion.
Key components of the BH-CONNECT initiative include:
- Workforce Investments: A commitment of $1.9 billion towards creating a diverse and well-trained behavioral health workforce. This funding will support scholarships, loan repayments, recruitment incentives, and professional development through the Department of Health Care Access and Information (HCAI).
- Transitional Rent Assistance: This program offers up to six months of rental support to eligible Medi-Cal members transitioning from healthcare facilities, congregate settings, or homelessness. It aims to provide a bridge to permanent housing and reduce the risks associated with transitional periods.
- Enhancements for Foster Children and Youth: Additional funding will be directed to improve access and outcomes for children in the welfare system receiving specialty mental health services.
- Incentives for Counties: A $1.9 billion Access, Reform, and Outcomes Incentive Program will reward county behavioral health plans that succeed in improving access, reducing disparities, and enhancing service quality.
- Community Transition Services: To ensure continuity of care, this initiative supports members transitioning from long-term institutional stays back into their communities.
- Short-term Inpatient Psychiatric Care: New flexibility will be provided for federal Medi-Cal funding to support short-term mental health care in inpatient and residential settings.
How BH-CONNECT became a reality
Comprehensive studies and recommendations for resolving service gaps in behavioral health care were part of the process to obtaining the BH-Connect waiver. Submitted to CMS in October 2023, the waiver emphasizes enhancing evidence-based options for therapy for vulnerable populations including children and young people engaged in child welfare, people at risk of homelessness, and justice-involved members.
BH-CONNECT is a strategic component of a larger vision
Complementing other state initiatives to modernize and increase access to mental health treatments, BH-CONnect is a vital component of Governor Newsom’s larger Mental Health for All campaign. This consists of projects sponsored by Proposition 1, meant to completely change the behavioral health landscape in California.
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The news not only marks a major policy triumph for Governor Newsom’s government but also offers a real change in the life of millions of Californians dealing with mental health issues.
