Butte County officials warn MHSA-to-BHSA change could end early-intervention programs

Butte County behavioral health officials told the Board of Supervisors on June 10 that a state-mandated shift from the Mental Health Services Act (MHSA) to a Behavioral Health Services Act (BHSA) will end existing MHSA contracts at the end of the fiscal year and could cut or substantially change many early-intervention programs.

Scott Kennelly, director of behavioral health, told supervisors: “All of our MHSA contracts are ending at the end of this fiscal year, and part of the revision for BHSA includes going out to RFP this fall for funding for BHSA.” He said entities funded through MHSA — including the Hmong Cultural Center and the African American Cultural Center — will need to respond to a new request for proposals and that community input will shape what programs receive funding under BHSA.

The change is coming from the state, Kennelly said; local staff did not initiate the shift. He advised the board that MHSA-funded early-intervention programs are “at risk as well as the majority of our MHSA early intervention programs of either being cut or dramatically changing under BHSA.”

Why it matters: MHSA has funded local prevention, outreach and cultural-center services in Butte County. Kennelly said the county will run a BHSA RFP this fall; programs that cannot adapt to new eligibility or funding priorities could lose county contract support. Supervisors and commenters at the meeting raised concern that voter initiatives and state-level ballot measures have altered funding rules and allocation priorities.

What happened at the meeting: The exchange occurred during review of the consent calendar, when a board member asked about ongoing funding for the Hmong Cultural Center and the Southside Center. Kennelly outlined the timeline and the county’s plan to run the fall RFP. He also told the board he will provide an August presentation on the anticipated impacts of MHSA becoming BHSA.

No formal local policy was adopted on June 10; the consent calendar, which included unrelated contract corrections, was approved by the board. Kennelly’s remarks were informational and framed the state-driven funding change, not a county decision.

Context and next steps: County staff said community input will drive BHSA program selections and that the department will present more detailed impacts to the board in August. Providers currently funded by MHSA should expect to prepare proposals for the fall RFP and to adapt program models to BHSA eligibility requirements.