Medi-Cal Behavioral Health Loan Repayment Program

HCAI is offering this Medi-Cal Behavioral Health Loan Repayment Program (MBH-LRP) as part of the Behavioral Health Community-Based Organized Networks of Equitable Care and Treatment
(BH-CONNECT) Workforce Initiative. The program is committed to expanding access to critical mental health and substance use disorder services across California.

The goal for the MBH-LRP is to reduce educational debt for behavioral health professionals who commit to serving Medi-Cal members and underserved communities. Eligible behavioral health practitioners can receive up to $240,000 in loan repayment with commitment to a multi-year service obligation.

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Maximum Award Amounts

This program provides loan repayment for behavioral health professionals with educational debt:

  • Licensed, prescribing behavioral health practitioners are eligible for up to $240,000 in loan repayment
  • Non-prescribing licensed or associate level pre-licensure practitioners are eligible for up to $180,000
  • Non-licensed, non-prescribing practitioners, including SUD counselors, community health workers, peer support specialists and wellness coaches are eligible for up to $120,000

Service Obligation Duration

  • Licensed, prescribing behavioral health practitioners and non-prescribing licensed or associate level pre-licensure practitioners will serve a 4-year service obligation, regardless of loan repayment amount
  • Non-licensed, non-prescribing practitioners* will complete a service obligation period based on the loan repayment amount:
    • $20,000 or greater: four years
    • $10,000 to $20,000: three years
    • Less than $10,000: two years

*Alcohol or Other Drug Counselors, Community Health Workers, Peer Support Specialists, Wellness Coaches, and other non-prescribing practitioners meeting the provider qualifications for Community Health Worker services, Rehabilitative Mental Health Services, Substance Use Disorder Treatment Services, and Expanded Substance Use Disorder Treatment Services in the California Medicaid State Plan

Eligible Practice Sites

Grantees must complete their service obligation in one or more of these Medi-Cal safety net settings:

  • Federally Qualified Health Centers (FQHC)
  • Community Mental Health Centers (CMHC)
  • Rural Health Clinics (RHC)
  • Settings with the following payer mix:
    • Hospitals with 40% or higher Medicaid and/or uninsured population
    • Rural hospitals with 30% or higher Medicaid and/or uninsured population
    • Other behavioral health settings with 40% or higher Medicaid and/or uninsured population

Key Dates

Informational Webinar: May 13, 2025

Application Opens: July 2025

Program Launch Webinar: July 2025

Application Closes: August 2025

Resources

Full BH CONNECT Special Terms and Conditions (STCs) (HCAI portion on pages 21-30)​

BH-CONNECT Council Slides (Feb 2025)

HCAI BH-CONNECT Webpage

DHCS BH-CONNECT Workforce Initiative Webpage

Learn more about BH-CONNECT

Contact Us

Email:  MBHLRP@hcai.ca.gov

Phone: (916) 326-3700

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