MHSA Program Policy
The Mental Health Services Act (MHSA) passed as Proposition 63 in 2004, became effective January 1, 2005, and established the Mental Health Services Fund (MHSF). Revenue generated from a one percent tax on personal income in excess of one million dollars is deposited into MHSF.
The MHSA addresses a broad continuum of prevention, early intervention, and service needs as well as providing funding for infrastructure, technology, and training for the community mental health system. The MHSA specifies five required components:
- Community Services and Supports (CSS)
- Prevention and Early Intervention (PEI)
- Innovation (INN)
- Capital Facilities and Technological Needs (CF/TN)
- Workforce Education and Training (WET)
On a monthly basis, the State Controller's Office (SCO) distributes funds deposited into the MHSF to counties. Counties expend the funds for the required components consistent with a local plan, which is subject to a community planning process that includes stakeholders and is subject to County Board of Supervisors approval. Per Welfare and Institutions Code (W&I) Section 5892(h), counties with population above 200,000 have three years to expend funds distributed for CSS, PEI, and INN components. Counties with less than 200,000 have five years to expend funds distributed for CSS, PEI and INN components. All counties have ten years to expend funds distributed for CF/TN and WET components.
In addition to local programs, MHSA authorizes up to 5 percent of revenues for state administration. These include administrative functions performed by a variety of state entities.
