To: Board of Supervisors
From: DHHS: Behavioral Health
Agenda Section: Consent
Vote Requirement: Majority
SUBJECT:title
Mental Health Services Act Annual Update for Fiscal Year 2025-26end
RECOMMENDATION(S):
Recommendation
That the Board of Supervisors:
1. Receive and file the attached Mental Health Services Act (MHSA) Annual Update; and
2. Adopt the MHSA Spending Plan for Fiscal Year 2025-26; and
3. Direct the Clerk of the Board to provide the Department of Health and Human Services - Contract Unit with one (1) fully executed, certified copy of the Board order related to this item.
Body
STRATEGIC PLAN:
The recommended actions support the following areas of the Board of Supervisors’ Strategic Plan:
Area of Focus: Safe & Healthy Communities
Strategic Plan Category: 1002- Remove barriers to quality healthcare
DISCUSSION:
Proposition 63 was passed by the California voters in November 2004 and enacted into law on January 1, 2005. Now known as the Mental Health Services Act (MHSA), this legislation places a one percent (1%) tax on individuals with an income exceeding One Million Dollars ($1,000,000.00).
The attached MHSA Annual Update has been developed with the participation of stakeholders, in accordance with the Community Program Planning Process set forth in Section 5848 of the California Welfare and Institutions Code and Section 3300 of Title 9 of the California Code of Regulations. The draft MHSA Annual Update was circulated to representatives of stakeholder interests and any interested party for thirty (30) days in preparation for the public hearing held by the Humboldt County Behavioral Health Board on May 22, 2025.
The process for obtaining stakeholder input for the attached MHSA Annual Update utilized two (2) methods. First, following the process used in prior Plans and Annual Updates, eleven (11) stakeholder meetings were held, including groups representing five (5) regions of Humboldt County. Input and comments were accepted through the MHSA email address, the MHSA voicemail and written on Demographic Questionnaire e-forms used at the stakeholder meetings.
The Community Program Planning Process for the attached MHSA Annual Update had two (2) components, MHSA education and collecting input from stakeholders. MHSA education included the following areas of planning: mental health policy, program planning, implementation, monitoring, quality improvement, evaluation and budget allocations. Such education also included the MHSA core concepts of community collaboration, cultural competence, client wellness, recovery and resilience and an integrated service experience for clients and their families.
The attached MHSA Annal Update was posted to the County of Humboldt’s website on April 21, 2025, and it should be adopted by the Board of Supervisors within ninety (90) days of such posting. Once the attached MHSA Annual Update has been adopted by the Board of Supervisors, it will then be sent to the California Department of Health Care Services and the Mental Health Services Oversight and Accountability Commission.
SOURCE OF FUNDING:
Behavioral Health Fund (1170-515000, 515120, 640000) and Mental Health Services Act (3441)
FINANCIAL IMPACT:
Pursuant to California Welfare and Institutions Code Section 5892, MHSA component funding is distributed to counties on a monthly basis based on actual tax receipt collections. Each county is responsible for ensuring that twenty percent (20%) of the funds distributed from the Mental Health Services Fund is allocated for Prevention and Early Intervention programs. In addition, counties are required to utilize five percent (5%) of such funding for Innovative programs and the balance of such funding must be allocated for Community Service and Support programs. Transfers of Community Service and Support program funds for capital facilities and technological and human resource needs are limited to twenty percent (20%) of the average amount of funds allocated to a county for the previous five (5) years.
The MHSA Annual Update includes worksheets which set forth MHSA funding estimates to be received by the County of Humboldt for fiscal year 2025-26. Allocation of the MHSA funding reflected in these worksheets is consistent with the applicable requirements set forth in the above-referenced provisions of the California and Welfare and Institutions Code. Revenue estimates are based on recommendations by the California Department of Health Care Services and California Behavioral Health Directors Association.
Fiscal year 2025-2026 expenditures in the amount of Eleven Million Two Hundred Twelve Thousand Five Hundred Eighty-Six Dollars ($11,212,586.00) are based on calculations included in the proposed fiscal year 2025-26 budgets for Department of Health and Human Services - Behavioral Health budget units 1170-424 and 1170-477. Funding sources include federal and state financial participation for specialty mental health service to Medi-Cal beneficiaries and Mental Health Services Act revenues received by the Department of health and Human Services - Behavioral Health.
STAFFING IMPACT:
Approval of the attached MHSA Annual Update will not impact current staffing levels.
OTHER AGENCY INVOLVEMENT:
California Department of Health Care Services; California Mental Health Services Oversight and Accountability Commission
ALTERNATIVES TO STAFF RECOMMENDATIONS:
The Board may choose not to adopt the attached MHSA Annual Update for fiscal year 2025-2026. However, this alternative is not recommended since it would result in non-compliance with Section 5847 of the California Welfare and Institutions Code.
ATTACHMENTS:
1. Mental Health Services Act Annual Update for Fiscal Year 2025-2026
PREVIOUS ACTION/REFERRAL:
Meeting of: Meeting of: 07/31/18; 06/25/19; 10/27/20; 08/10/21; 07/19/22; 06/27/23; 07/09/24
File No.: 18-972; 19-870; 20-1376; 21-1031; 22-909; 23-827; 24-1062