Governor Releases FY 2022-23 Budget: Behavioral Health Items

Nov. 23, 2021: On Nov. 1, Governor Jared Polis released his budget proposal for Fiscal Year 2021-22, including proposed investments to support the opening of two units at the Colorado Mental Health Institute at Fort Logan that are currently under construction; a 1.0 percent rate increase for community-based providers; and improving involuntary mental health treatment. More details on these budget items and more are provided below.

The Joint Budget Committee is conducting meetings with their staff and Department staff in November and December to review the Governor’s FY 2022-23 budget request. You can find the JBC’s schedule here. The JBC is scheduled to be briefed on OBH's FY 2022-23 budget requests on Wednesday, Dec. 8 at 9 a.m. The JBC will use these meetings to further clarify programs, services, or budget requests prior to drafting legislation allocating funds during the upcoming legislative session.

The following list provides details on OBH funding changes in the Fiscal Year 2022-23 budget proposal from the Governor.

• CMHIFL 44 Bed Operating Funds: The request includes an increase of $10.3 million General Fund and 78.3 FTE for FY 2022-23 to fund the staff and operating costs needed to open two new units at the Colorado Mental Health Institute at Fort Logan. Estimated to open in October 2022, the construction costs for the units were funded in FY 2020-21 in order to add inpatient beds for competency evaluation and restoration, in order to help address the waitlist for admission. For FY 2023-24, the full-year cost increases to $12.4 million General Fund and 104.3 FTE.
• Community Provider Rate Increase: The request includes $10.3 million total funds in FY 2022-23 (of which, $1.5 million would be for OBH providers) and beyond to provide a 1.0 percent rate increase to community-based providers. This applies to community programs and direct services provided by contracted providers or county staff, including County Administration, Child Welfare providers, County Child Welfare Staffing, community-based Youth Services entities, community mental health centers and providers, Child Care Licensing contracts, Child Care Assistance Program, Early Childhood Mental Health Specialists, Domestic Violence Providers, community-based refugee assistance providers, and other similar providers.
• Improving Involuntary Mental Health Treatment: The request seeks $181,433 General Fund and 1.0 FTE in FY 2022-23 to provide training and technical assistance to intervening professionals on Colorado-specific involuntary hold procedures to ensure these professionals have the skills and knowledge to initiate involuntary mental health holds appropriately. The request includes proposed legislation that would update the involuntary hold statutory provisions to address patient rights, provide clear criteria for placing an individual in a transportation hold, and clarify what happens when an individual is brought to a mental health facility.
• CBH Criminal Justice Long Bill Line Consolidation: The net-zero request seeks the consolidation of two Long Bill line items - Criminal Justice Diversion Programs and Jail-based Behavioral Health Services - to allow the Department and county-based contractors to efficiently and effectively utilize the appropriated funds to serve the criminal justice population with behavioral health needs. These two line items, while separate appropriations, support similar behavioral health services for individuals involved in the criminal justice system. Combining funding for these services would provide greater flexibility and maximization of the funds.
• Community Behavioral Health Technical Corrections: The net-zero request proposes several technical changes to Community Behavioral Health line items for three programs that provide funding for the prevention and treatment of substance use disorders. This includes:
  • The transfer of $1.5 million General Fund from the Treatment and Detoxification line item to the Jail-based Behavioral Health Services line item, for the provision of medication-assisted treatment (MAT) in county jails.
  • The transfer of $264,596 cash funds from the Persistent Drunk Driver Cash Fund from the Treatment and Detoxification line item to the Community Prevention and Treatment line item.
  • The removal of the word “Pilot” from the Behavioral Health Secure Transportation Pilot Program line item, which aligns with the program name in statute and allows funding to be used statewide.
• MHI Forensic Technical Corrections: The net-zero request proposes several technical changes to Mental Health Institute line items to correct appropriation errors. This includes the transfer of funds to more appropriate line items and the separation of appropriations for two distinct programs.
• Food Service and Housekeeping Coordinated Compensation: This request, submitted in partnership with the Department of Personnel and Administration and other state departments, includes $2.0 million total funds, including $1.1 million General Fund, for a compensation adjustment for housekeeping and dining services job classifications, which have had high turnover and have been difficult to fill. The request will affect staffing at the Mental Health Institutes and seeks to move Custodian I - II, Materials Handler I, and Dining Services I - V job classifications (over 300 staff) to the market 50th percentile.
• Adult Behavioral Health Beds to Address the Inpatient Competency Waitlist: Currently, there are approximately 350 individuals in jail waiting to be admitted for inpatient competency services. Some of these individuals have waited almost a year and others’ mental health is deteriorating as they wait. Prior to the pandemic, the State had made significant progress toward timely admission for every person waiting. However, the waitlist has ballooned during the pandemic. To address the number of people waiting to be admitted, the Governor has dedicated $20,266,500 to three key areas:
  • $19.7 million to serve approximately 150 of these individuals using 64 private hospital beds over the next year.
  • $250,000 for medication-prescribing services for all individuals waiting in jail across the state.
  • $270,000 for housing assistance and case management for successful community placement of approximately 40 individuals.