May Revision to California 2023/24 Proposed Budget
On May 12, 2023, Governor Gavin Newsom released the highly anticipated May Revision to California's proposed budget for 2023/24. This revised budget showcases notable changes and investments that aim to address critical issues faced by the state. Of particular significance are the updates related to the Behavioral Health Continuum. These updates reflect California's commitment to improving mental health services and infrastructure, ensuring that individuals, especially children and youth, have access to the support they need to thrive.
Enhancing the Behavioral Health Continuum
The May Revision introduces key adjustments to the Governor's Budget, specifically focusing on the Behavioral Health Continuum. One noteworthy change is a decrease in Medi-Cal expenditures of approximately $1.4 billion General Fund for 2022/23. This reduction is primarily attributed to revised implementation updates to the Children and Youth Behavioral Health Initiative, the Behavioral Health Continuum Infrastructure Program, and the Behavioral Health Bridge Housing Program. These adjustments reflect the state's ongoing efforts to streamline and optimize the delivery of behavioral health services while effectively managing resources.
Centralizing Provider Management and Billing
As part of the May Revision, the Department of Health Care Services (DHCS) confirmed its plans to develop and implement a statewide infrastructure aimed at centralizing provider management functions. This infrastructure will encompass critical aspects such as credentialing, quality oversight, billing, and claiming for behavioral health services provided by school-based and school-linked providers under the Children and Youth Behavioral Health Initiative (CYBHI) fee schedule. With an initial allocation of $10 million General Fund in FY 2023/24, this investment marks a significant step towards simplifying processes and reducing administrative burdens.
The centralization of provider management functions will contribute to the participation of local education agencies, California Community Colleges, California State University, and University of California campuses. By creating a unified infrastructure for claiming for behavioral health services, it will be easier for these entities to navigate oversight and claims submission processes, ensuring seamless integration of services for students. Furthermore, this funding allocation emphasizes the importance of appropriate oversight for the school-linked provider network, promoting accountability and quality assurance without requiring each educational institution to navigate multiple health plan systems.
Long-Term Funding and Future Prospects
While the initial $10 million allocation demonstrates California's commitment to developing a centralized infrastructure for claiming for behavioral health services, DHCS recognizes the need for sustainable funding options to support the continued operation of this system. As the implementation progresses, DHCS will explore long-term funding strategies that will ensure the ongoing success and effectiveness of the centralized provider management and billing infrastructure. This commitment reflects California's dedication to building a comprehensive and robust behavioral health continuum that prioritizes the well-being of its residents, particularly children and youth. As the budget process continues, stakeholders and the community look forward to witnessing the positive impacts of these initiatives in the years to come.
