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Oregon Legislature Announces More Than $153 Million Budget Framework to Address Behavioral Health Crisis

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From the Offices of the House Speaker

and Senate President



Date: June 20, 2023

Hazel Tylinski, [email protected]

Connor Radnovich, [email protected]

 The Behavioral Health Care Delivery Budget framework builds on 2021-2022 investments, stabilizes mobile crisis response funding and coordination between care centers and response systems

SALEM, Ore. – Today, legislative leaders announced a $153 million Behavioral Health Care Delivery Budget Framework. These investments will help strengthen the state’s behavioral health workforce, stabilize mobile crisis funding, and support response and recovery resources to ensure access to high-quality, affordable services for everyone who needs them.

Part of this framework is House Bill 2757, which passed out of the House Revenue Committee on Tuesday. The bill will expand and build on American Rescue Plan Act (ARPA) funding and programming for 9-8-8, the national suicide prevention hotline number launched in Oregon in summer 2022—a critical resource for Oregonians experiencing mental health crises.

The 2023-2025 Behavioral Health Budget framework builds off of the $1.3 billion down payment the legislature made in the 2021-2022 biennium.

“To respond to the needs in our behavioral health system we must invest in community-based services for Oregonians with acute needs,” said Senate Majority Leader Kate Lieber (D – Beaverton and SW Portland). “Expanding access requires a continued commitment to improving infrastructure, bolstering successful community models and expanding the workforce.”

“Oregonians were clear that we need to get people the appropriate, high quality, and affordable care they need,” said Representative Rob Nosse (D – Inner SE & Inner NE Portland). “Behavioral health is not one-size-fits-all, and there is no one way to approach it. But with this amazing budget package, we’re investing in key parts of Oregon’s infrastructure to meet people where they are.”

Investments include:

  • $2.6 million for recovery schools (House Bill 2767)
  • $37.1 million for Oregon Health Authority programming (SB 5525), including:
    • $15 million for construction of additional substance use disorder (SUD) facility capacity
    • $7 million for Civil commitment services through Community Mental Health (CMHP) Programs
    • $6 million for transitional case management services for houseless patients released from the Oregon State Hospital
    • $6 million to expand the Health Care Provider Incentive Program (HCPIP)
    • $3.1 million to advance training opportunities for pediatricians and child psychiatrists
  • House Bill 2757 – dedicating funding for the 9-8-8, the suicide prevention and behavioral health crisis hotline
  • House Bill 5026 – Higher Education Coordinating Commission
    • $5.4 million – OHSU Mission Control for behavioral health
  • $10 million through the Criminal Justice Commission to fund justice-involved mental health or substance abuse disorders (IMPACTS) grants (Senate Bill 5506)
  • $4.9 million to Oregon Health Authority to fund jail diversion through CMHPs (Senate Bill 5506)
  • $3 million for Department of Administrative Services to resource the Community Based Mental Health Services Risk Pool (Senate Bill 5506)
  • $50 million to build out physical and provider capacity within the behavioral health system
  • $40 million Other Funds limitation for opioid settlement investment in the 2023-25 biennium

Many of these bills have already passed the floor or are part of various policy bundles, highlighting the intersectionality of our work to address the behavioral health crisis from multiple angles this session.

“As a Registered Nurse, I have seen people of all different backgrounds, needs, and states come into care centers,” said Representative Travis Nelson (D – N & NE Portland), vice chair of the Behavioral Health and Healthcare Committee and a State Hospital Board Member. “This budget means we can get people individualized, equitable care no matter who they are, where they live, or how much they make.”

Additional funding will be set aside for increased Medicaid reimbursement rates for behavioral health services to support the rising costs and high demand for care, with the goal of increasing access to high-quality services throughout Oregon. By leveraging an existing and steady stream of funding, we can ensure certainty for providers, and in turn, for patients and their families.

“Oregonians are calling out for greater investment in behavioral health,” said Senator Wlnsvey Campos (D – Aloha). “This package will provide meaningful relief to Oregonians with behavioral health needs and their families, by improving access to life saving and life changing care.”

“Behavioral health crises deserve appropriate, timely, and expert response,” said Representative Tawna Sanchez (D – N & NE Portland), co-chair of Joint Ways and Means. “This 988 allocation is a step in the right direction towards institutionalizing mobile crisis response funding.”

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