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Commission adopts behavioral health reserve policy to formalize use of Medicaid‑flowing funds
Summary
The board approved a policy formalizing the county’s behavioral health reserve (Fund 270), setting a target reserve of about 90 days (roughly 25% of operating budget), clarifying allowable uses and how interest will be treated; staff discussed capital priorities and uses for the $29 million balance.
The Deschutes County Board of Commissioners approved a proposed reserve fund policy for Fund 270, which houses Medicaid‑related behavioral health dollars including CCBHC (Certified Community Behavioral Health Clinic) prospective payments.
Cheryl Smallman, business officer for health services, and Janice Gersow, director of Health Services, told the board the policy formalizes prior practice and sets a target cash reserve of at least 90 days (about 25% of operating budget). Smallman said the policy clarifies that Fund 270 and operating fund 274 are…
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