The behavioral health landscape in the U.S. is undergoing a transformative shift, and Certified Community Behavioral Health Clinics (CCBHCs) are at the forefront of this evolution. Nearly three years into the CCBHC Medicaid demonstration and about a year and a half into the first round of expansion grants, momentum continues to build behind the CCBHC model. In January, that momentum gained a significant boost: the Substance Abuse and Mental Health Services Administration (SAMHSA) announced a $200 million round of CCBHC expansion grants—available nationwide, not just in select states.
This marks a major win for behavioral health providers and advocates who have long championed the CCBHC model for its capacity to transform mental health and substance use care through expanded access, integrated services, and 24/7 crisis support. While some providers express uncertainty about staffing and operational readiness, evidence suggests that the CCBHC model can not only meet current demand but also help strengthen the workforce itself.
What Are CCBHCs?
Certified Community Behavioral Health Clinics are specially designated clinics that must meet specific criteria for delivering comprehensive mental health and substance use services. This includes:
- 24/7 crisis services
- Comprehensive outpatient mental health and substance use care
- Care coordination with primary care and hospitals
- Integration of services for veterans and active-duty military
In return, CCBHCs receive enhanced funding, which allows them to expand services and improve care delivery. Currently, more than 100 CCBHCs operate across 20+ states, either through the Medicaid demonstration or SAMHSA’s expansion grant program.
$200 Million in New Funding – What It Means
With SAMHSA’s January announcement, approximately 98 new behavioral health providers could receive up to $2 million per year for two years. That’s a substantial opportunity not only for individual clinics but also for the communities they serve.
Here’s what this funding accomplishes:
- Nationwide Reach: Unlike earlier funding rounds limited to specific states, this grant program is open to providers across the U.S.
- Workforce Expansion: Clinics can invest in hiring, training, and retaining qualified staff.
- Infrastructure Support: Funds can be used for electronic health records, administrative systems, and telehealth platforms.
- Service Innovation: Clinics can pilot new programs, extend hours, and improve community outreach.
Grant applications are due March 10, and recipients will have four months after award to meet CCBHC certification standards. That timeline has raised concerns among some organizations, especially around staffing challenges—but experience from existing CCBHCs paints a hopeful picture.
The Workforce Boost from CCBHCs
One of the most consistent barriers to scaling mental health services in the U.S. is workforce shortages. Providers have long struggled to recruit and retain qualified clinicians, especially in underserved areas. Yet, the CCBHC model appears to be part of the solution—not the problem.
Rebecca Farley David, Vice President of Policy and Advocacy at the National Council for Behavioral Health, shared compelling data during a recent webinar co-hosted by Relias. In the first year of the original Medicaid demonstration involving eight states, 66 CCBHCs collectively added approximately 3,000 new positions—an average of 90 new employees per clinic.
“We had some clinics that actually doubled their workforce,” said David. “The funding that comes with CCBHC status allowed organizations to offer more competitive salaries, which enabled them to hire more highly qualified candidates.”
That’s not all. Clinics also used the funding to implement workforce initiatives that improved staff satisfaction and retention, a major win in an industry plagued by burnout and turnover. Nearly a third of the clinics involved reported significant increases in hiring and recruitment success.
Demonstration vs. Expansion: Two Paths to Funding
There are two major funding pathways for CCBHCs:
- Medicaid Demonstration Program
Participating clinics receive enhanced Medicaid reimbursement based on actual service costs. This model supports sustainability beyond initial grant periods and helps clinics grow in scale. - SAMHSA Expansion Grants
These are time-limited (usually two years) and offer upfront funding for providers to ramp up operations and services.
While the expansion grants provide critical support, the National Council is pushing for a broader rollout of the Medicaid demonstration model, which is more stable and scalable over time. There’s currently bipartisan legislation pending that would extend the demonstration for another two years and expand it into 11 additional states.
“Grantees … only received $4 million over the course of two years for their activities,” David explained. “Demonstration participants … receive a Medicaid cost-related payment for their services.”
This shift would bring more providers into a sustainable reimbursement structure, making it easier to serve vulnerable populations with high-quality care for the long haul.
What Comes Next?
The upcoming expansion grants offer a rare opportunity for community-based behavioral health providers to elevate their impact. But success hinges on preparation, adaptability, and a long-term vision.
Providers considering the transition to a CCBHC should:
- Evaluate infrastructure needs: Are systems in place to handle the increased administrative and clinical requirements?
- Assess workforce capacity: Can you recruit and retain enough staff to deliver 24/7 care and meet all nine required service areas?
- Engage community partners: Collaboration with hospitals, primary care providers, and other agencies is essential.
- Plan for sustainability: How will your organization continue services after the two-year grant period?
While challenges remain, especially around workforce capacity, the track record of existing CCBHCs offers a roadmap. With proper planning and investment, the model can expand not only services but also improve staff morale, patient outcomes, and overall community health.
Final Thoughts
CCBHCs represent a fundamental shift in how behavioral health care is funded and delivered. By focusing on integrated, accessible, and comprehensive services, they address longstanding gaps in the system—especially for high-need, underserved populations.
The recent announcement of $200 million in SAMHSA expansion grants is more than just an infusion of cash—it’s a strategic investment in the future of mental health care. It empowers clinics to grow their teams, enhance their services, and become lifelines for their communities.
As the movement continues to gain national traction, one thing is clear: CCBHCs are no longer a pilot or an experiment—they’re a proven model for change. With continued advocacy and support, they could become the standard for community-based behavioral health across the country.
