Vermont awarded CCBHC demonstration status; two agencies move to preliminary certification July 1

Commissioner Emily Haas and Deputy Commissioner Samantha Sweet highlighted ongoing work to adopt the Certified Community Behavioral Health Clinic (CCBHC) model statewide and described federal planning grants and an enhanced federal payment rate for the demonstration.

Sweet told the House Health Care Committee that five designated agencies received federal planning grants (about $1 million per year for four years) to prepare for CCBHC certification. She named the agencies: Clara Martin Center, Howard Center, Healthcare and Rehabilitation Services of Vermont (HCRS), Northeast Kingdom Human Services, and Rutland Mental Health.

Haas said the department applied to become a CCBHC demonstration state and was approved; under that demonstration two agencies will enter preliminary certification on July 1. Commissioner Haas said the enhanced federal participation mirrors the CHIP enhanced rate and will allow the state to “draw down” additional federal dollars while the agencies provide a broader, integrated array of mental health and substance-use services, including crisis response and medication-assisted treatment.

Sweet described the CCBHC model as requiring clinics to provide crisis mental health services, targeted case management, outpatient mental health and substance-use services, screening and assessment, peer supports, and formal relationships to serve veterans and primary care. The department said CCBHC is intended to produce an integrated and sustainably financed model for care delivery.

Committee members asked about what happens when federal planning grant dollars end. Haas said the current federal planning grant term has been extended and that the demonstration’s enhanced rate is available through an awarded period (the department referenced 2028–29 as the window for enhanced match), after which the department may seek legislative support or rely on savings from changed service models.

Deputy Commissioner Sweet and Haas described technical work being done by agencies to meet certification requirements: electronic health record changes, staffing models, cost reporting, and training to assure co-occurring care delivery. Committee members asked whether agencies not in the first demonstration round (for example, Washington County Mental Health/Central Vermont) are preparing to apply in future rounds; Sweet said Washington County Mental Health has a planning grant and is expanding substance-use services.

Committee members asked whether the enhanced rate is part of the state’s waiver; department leaders said the enhanced rate for CCBHCs is outside the current Medicaid waiver and is similar to the CHIP enhanced rate. The department said the enhanced rate will largely be realized through Medicaid federal participation and should produce general‑fund savings relative to prior case-rate spending.