For the past two decades, the Mental Health Services Act (MHSA) has helped shape behavioral health programs in California through funding generated by a 1% tax on personal incomes over $1 million. Passed in 2004, MHSA was designed to expand and improve behavioral health services to better serve individuals with, and at risk of, serious mental health issues.
In 2024, California voters passed Proposition 1, which replaced MHSA with the Behavioral Health Services Act (BHSA), a move that brings significant changes to how behavioral health services are planned, delivered and funded. While BHSA introduces structural changes, it does not increase funding; instead, it reorganizes how funds are allocated and prioritized.
Sacramento County Department of Health Services (DHS) would like to break down these important changes to help you understand as we step into this next chapter together:
- Creating a single Integrated Plan that brings all funding sources under one coordinated strategy. This shift is intended to streamline services, reduce duplication and build a more connected and effective system of care.
- Investing more intentionally in housing interventions. At least 30% of BHSA funding will now go toward housing interventions for individuals with behavioral health needs, marking a major investment in the stability and wellness of some of the County’s most vulnerable residents.
- Directing resources to those with the most significant mental health and substance use challenges, ensuring that help reaches the people who need it most.
- Setting clear goals and tracking what’s working. We’ll be defining specific outcomes and reporting on our progress. This is a good thing — it helps us see what’s working, make adjustments, and build trust by showing we’re using public dollars thoughtfully.
To help shape this new chapter, the County is launching a two-phase Community Planning Process. From July through September 2025, residents will have opportunities to share their thoughts on what’s working in the current system and where improvements are needed. These conversations will inform the development of the Integrated Plan and ensure it reflects the voices and experiences of the people it’s meant to serve.
The first Community Conversation will be held in person on Thursday, July 17 at the California Automobile Museum, Alhambra Hall, located at 2200 Front Street, Sacramento from 6 –7:30 p.m. Free parking and food will be available. A virtual session will also be held via Zoom on Wednesday, July 30, from 6 –7:30 p.m. To learn more about BHSA, visit the BHSA website.