California voters will see a mental health and housing ballot measure backed by Gov. Gavin Newsom in the 2024 primary election.
People sit on the sidewalk of G Street in a small homeless encampment in the Chinatown neighborhood of Fresno on Feb. 10, 2022. Photo by Larry Valenzuela, CalMattersCalifornia collects a special tax on high incomes to fund mental health services. Gov. Gavin Newsom wants to change how the money is spent so a share of it can be used to fund housing for homeless people with mental illnesses.
Newsom and supporters have promoted Proposition 1 as a way to help address the state’s deteriorating homelessness and addiction crises. They contend increased investment and an update to the state’s Mental Health Services Act is “long overdue”. Opponents of the ballot measure say diverting money in the Mental Health Services Act for housing will result in up to $1 billion in cuts to
The tax is not California’s only source of revenue for mental health programs. The state also receives money from Medi-Cal, and it spends a portion of its general fund on those services. Those sources come with strict spending limitations. For example, Medi-Cal primarily pays for treatment of mental health disorders but will not cover prevention programs. It also will not pay for inpatient treatment at a facility with more than 16 beds.
Sacramento Mayor Darrell Steinberg has been a staunch supporter of Newsom’s proposal. Steinberg was one of the co-authors of the Mental Health Services Act when he was an assemblymember in 2004.
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