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Appropriations committee approves DEVA committee recommendations and asks for language clarifying $10M provider stabilization split

2148262 · January 24, 2025
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Summary

Committee members said a DEVA-related package was unanimously approved at the committee level and involves a $10 million provider stabilization appropriation; members asked for BAA language to clarify that $4 million was initially intended for substance-use and mental-health providers and $6 million for broader stabilization.

Members of the House Appropriations Committee reviewed a health-care committee letter on Jan. 24 that includes a DEVA (Division for—referenced as DEVA in the transcript) provider stabilization package. The committee reported that the DEVA elements were voted unanimously by the health committee and that the Appropriations Committee needs clarifying language about the intended split of the money.

The transcript records that the budget items include a $10,000,000 general-fund appropriation for provider stabilization placed in the DEVA budget. Committee members said $4,000,000 of that amount was in earlier budget drafts specifically for substance-use and mental-health provider stabilization and that an additional $6,000,000 is being located in DEVA to allow broader flexibility.

Appropriations members asked for explicit BAA language to clarify how the $10,000,000 should be used and to provide guardrails (for example, earmarking $4,000,000 for substance-use/mental-health) so the appropriation’s original intent is retained while allowing flexibility for extraordinary provider-relief needs. Members also discussed the possibility of charging some costs to settlement or special funds if settlement proceeds become available and asked staff to coordinate with Finance & Management to identify fund-source options.

Committee members noted urgency: DEVA and providers identified immediate needs and the committee encouraged staff to draft language that would allow timely disbursement given urgent provider conditions, while also keeping guardrails for accountability. The transcript records that members asked for language drafting and named staff (Jen Harvey to assist on drafting) to prepare clarified text for the BAA.