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Through historic investments, policy reforms, and partnerships with local governments, health plans, providers, and community-based organizations, the state is transforming California’s behavioral health delivery system, improving accountability and transparency, and expanding access to treatment and housing.
WHY THIS MATTERS: Californians will have easier access to quality mental health and substance use disorder services, especially for serious conditions and crises, and communities across the state will have more community treatment sites, behavioral health workers, and wellness supports.
Top News
CDPH Releases Initial Guidance for Behavioral Health Services Act (BHSA) Population-Based Prevention Program: On June 20, the California Department of Public Health (CDPH) released Phase 1 of the BHSA: Population-Based Prevention Program Guide. This is the first part of a comprehensive plan outlining the requirements, statewide goals, and implementation strategies for prevention programs funded under the BHSA. Following a public comment process for this initial guidance, CDPH will update the guide with the program's operational and administrative components.
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What’s Next? On June 30, CDPH held a virtual public webinar to provide an overview of Phase 1 guidance and invite public feedback. To provide feedback or register for the webinar, please visit the BHSA Partner and Community Engagement webpage. A recording of the webinar will be made available for those unable to attend. All feedback must be provided by July 11, 2025. Please email any questions to BHSAinfo@cdph.ca.gov.
DHCS Releases updates to BHSA Policy Manual: On June 30, the Department of Health Care Services (DHCS) updated the BHSA County Policy Manual to include content originally put forth during the public comment period for Module 3, adding clear guidance and timelines for counties as they prepare to submit their draft Integrated Plans (due March 31, 2026), final Integrated Plan (due June 30, 2026), and Phase 1 Performance Measures. These updates reflect the voices of stakeholders across California and are designed to support counties in aligning their plans with local priorities and statewide behavioral health goals. Once complete, the policy manual will serve as a comprehensive resource for counties, behavioral health providers, Tribal partners, and others working to implement the BHSA. By equipping counties with clearer direction and shared measures of progress, the manual is helping build a behavioral health system that is more coordinated, community-driven, and accountable—an essential foundation for California’s broader vision of Mental Health for All.
California Department of Housing & Community Development (HCD) and CalVet Award Funds for Permanent Supportive Housing Units: On June 30, building on ongoing support from voter-approved Proposition 1, the Governor announced nearly $103 million in Homekey+ awards to five counties (Los Angeles, Nevada, Placer, Santa Barbara, and Stanislaus). This first round of funding will create more than 315 permanent supportive housing units, which include housing with supportive services for veterans and individuals experiencing or at risk of homelessness due to mental health and/or substance use disorders. These homes are projected to serve thousands of residents over their lifetime. This initial round is part of a larger investment: $1.033 billion in Proposition 1 bond funds will be available through Homekey+ for cities, counties, housing authorities, and Tribal entities to develop housing for veterans. An additional $1.11 billion is available for projects serving broader target populations, supported by a combination of Proposition 1 and Homeless Housing, Assistance, and Prevention funds. Homekey+ applications are being reviewed and approved on a rolling basis; as of June 24, HCD has received 67 applications requesting more than $1 billion.
Certified Wellness Coaches Now Eligible for Medi-Cal Reimbursement: On June 24, the California Department of Health Care Access and Information (HCAI) announced that the federal Centers for Medicare & Medicaid Services (CMS) officially approved California’s State Plan Amendment (SPA) 25-0014, making Certified Wellness Coaches (CWC) eligible for reimbursement through Medi-Cal. Employers can now bill Medi-Cal to help offset the cost of hiring and retaining CWCs, strengthening their impact in communities statewide. With nearly 2,500 certified coaches already serving youth across urban and rural communities, this change enhances both career pathways and access to care. The CWC certification, available at no cost, continues to grow as a promising workforce strategy. Current CWCs are encouraged to join the Certified Wellness Coach LinkedIn group to stay informed and connect with potential employers. HCAI is working closely with partners to clarify next steps around the SPA approval and will share additional guidance with employers soon.
HCAI Kicks Off New Initiatives to Grow California’s Behavioral Health Workforce: This July, several key programs under the Behavioral Health Community-Based Organized Networks of Equitable Care and Treatment Demonstration (BH-CONNECT) are kicking off to support and grow California’s behavioral health workforce.
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Behavioral Health Student Loan Repayments: On July 1, the application period opened for the Medi-Cal Behavioral Health Student Loan Repayment Program, which offers financial relief to behavioral health professionals who commit to serving Medi-Cal patients in underserved areas. A webinar will be held on July 9, from 1:30 to 3 p.m., to provide information on eligibility and the application process. A recording of the webinar will be available online within ten days after the webinar date. The application cycle opens July 1 and closes on August 15, 2025.
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Behavioral Health Residency Training: Also in July, the application period opens for the Medi-Cal Behavioral Health Residency Training Program, which aims to expand the number of psychiatrists trained to work in Medi-Cal safety net settings.
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Medi-Cal Behavioral Health Community-Based Provider Training Program: Between July and August, virtual and in-person stakeholder engagement will begin for the Medi-Cal Behavioral Health Community-Based Provider Training Program. HCAI invites input from professionals like Alcohol and Other Drug Counselors, Peer Support Specialists, and Community Health Workers to build a stronger pipeline of community-based behavioral health workers through targeted training and education. The Community-Based Provider Training Program launches in early 2026.
Behavioral Health Stakeholder Engagement: On July 23, DHCS will hold its next Stakeholder Advisory Committee (SAC)/Behavioral Health SAC (BH-SAC) meeting. Please register in advance. BH-SAC provides DHCS with input on behavioral health initiatives and was created as part of the ongoing effort to integrate behavioral health with the greater health care system.
In Case You Missed It
Behavioral Health Workforce: In June, HCAI met with community partners and subject matter experts as part of its community engagement process for the Workforce Education and Training Five-Year Plan. This strategic initiative enhances recruitment, training, and retention of diverse, culturally competent professionals serving in the behavioral and mental health space. The process included focus groups, individual interviews, and other convenings to cover a wide range of topics and help ensure the inclusion of a diverse group of community partners. Please email any questions to BHprograms@hcai.ca.gov.
Behavioral Health Treatment Sites Breaking Ground: DHCS celebrated the launch of several Behavioral Health Continuum Infrastructure Program (BHCIP) projects in May and June, including expanded behavioral health facilities in Oakland, San Bernardino, and Los Angeles Safe Passages Community Wellness and Prevention Center in Oakland will offer local, person-centered mental health services to an estimated 7,600 children and youth each year. Also, the Inland Valley Drug and Alcohol Recovery Services campus expansion will provide addiction treatment services to nearly 100 more youth between ages 12-17. Finally, Sycamores Children’s Crisis Continuum Program in Los Angeles will serve more than 3,650 youth in foster care, providing them and their caretakers the resources they need in crisis.
Behavioral Health Transformation: On June 3, DHCS hosted the fifth Behavioral Health Transformation Quality and Equity Advisory Committee (QEAC) public webinar. During the webinar, attendees provided direct input to DHCS using the Q&A feature. Please send questions related to Behavioral Health Transformation and/or the QEAC webinars to BHTinfo@dhcs.ca.gov.
Behavioral Health Workforce: California distributed $38 million in awards to give peer specialists and behavioral health professionals the tools they need to deliver critical care services across diverse communities. These efforts are part of a broader strategy to build a culturally competent, community-rooted behavioral health system that puts lived experience and accessible education at the center of its mission. Under the Peer Personnel Training and Placement Program, the Behavioral Health Scholarship Program, and the Wellness Coach Scholarship Program, more than 3,790 awards were issued to help with training, educating, and placing behavioral health professionals.
Behavioral Health Infrastructure: On May 30, DHCS released the Proposition 1 Bond Behavioral Health Continuum Infrastructure Program (BHCIP) Round 2: Unmet Needs Request for Applications (RFA). Eligible organizations can apply for funding to construct, acquire, or rehabilitate properties that expand behavioral health services for Medi-Cal members and other Californians in need. DHCS will award more than $800 million in grants to support community-based facilities for mental health and substance use disorder care. This funding will help address longstanding service gaps by improving access to behavioral health care, especially in communities with the greatest unmet needs. Interested parties can read the application instructions on the BHCIP website and must submit their applications by October 28. This is the final round of funding available through DHCS as Part of Proposition 1’s Behavioral Health Infrastructure Bond Act. For more information, visit the BHCIP website or email BHTInfo@dhcs.ca.gov.
Resource Center
We’re pleased to share these resources about California’s work to build a stronger, more equitable, and accountable behavioral health system. We regularly update our fact sheets, frequently asked questions, and other materials to help you engage in this transformation.
Frequently Asked Questions (FAQ)
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BHSA: FAQs about the BHSA, which reforms behavioral health care funding to prioritize services for people with the most significant mental health needs while adding the treatment of substance use disorders, expanding housing interventions, and increasing the behavioral health workforce.
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Behavioral Health Infrastructure Bond: FAQs about the Behavioral Health Infrastructure Bond Act, which authorizes $6.4 billion in bonds to finance behavioral health treatment beds, supportive housing, community sites, and funding for housing veterans with behavioral health needs.
BHSA
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BHSA County Policy Manual: A guide designed to provide counties and partner organizations with helpful information regarding compliance with the requirements detailed in the BHSA.
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BHSA Housing Supports Primer: FAQs about housing supports provided through the Behavioral Health Services Act and Mental Health Services Act.
BHCIP (Behavioral Health Infrastructure)
BH-CONNECT
Homekey+
- Learn more about HCD’s Homekey+ program, which supports the development of permanent supportive housing for veterans and other individuals with mental health and/or substance use disorder challenges who are at risk of or experiencing homelessness.
Contact Us
Please send your inquiries about Proposition 1 implementation to BHTinfo@dhcs.ca.gov.
For more information about how California is transforming its mental health and substance use disorder system, visit MentalHealth.ca.gov and sign up to receive this Mental Health for All newsletter.
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