HCAI opens Medi‑Cal Behavioral Health Student Loan Repayment program; applications due Aug. 15

The Department of Health Care Access and Information on July 1 launched the BH Connect Medi‑Cal Behavioral Health Student Loan Repayment Program, a federally authorized effort to expand California’s behavioral‑health workforce by reducing student‑loan burdens for clinicians who commit to serve Medi‑Cal members and uninsured patients.

Kim Ramson, Grants Management Section Chief for Health Workforce Development at HCAI, said the program is part of a broader state effort. “California is facing a significant behavioral health workforce shortage, and the BH Connect workforce initiative is one way we're working to address it,” Ramson said.

The program is funded through the BH Connect initiative, which HCAI and the Department of Health Care Services developed after Centers for Medicare & Medicaid Services approvals tied to a Section 1115 demonstration and state plan amendments. Christian Jones, the program’s HCAI policy lead, said the agency has allocated “up to $90,000,000 in total for this year’s MBH SLRP cycle.” Awards vary by profession; Jones said some licensed prescribers and advanced practitioners are eligible for awards up to $240,000, while other eligible professions have lower maximums.

Why it matters: California officials say the awards are intended to recruit and retain clinicians in Medi‑Cal safety‑net settings where shortages are greatest. HCAI and DHCS plan to invest up to $1.9 billion across five workforce programs over five years, and recipients of this loan‑repayment funding must commit to serve Medi‑Cal members for multi‑year service obligations.

Who can apply and award levels - Eligible professions listed by HCAI include psychiatrists (including addiction and child/adolescent psychiatrists), physician assistants, nurse practitioners, licensed clinical psychologists, clinical social workers, marriage and family therapists, professional clinical counselors, certified peer support specialists, community health workers and others. Exact lists are in the…