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Funding

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REMINDER — PLEASE DISREGARD IF YOU HAVE ALREADY COMPLETED THIS SURVEY

Pennsylvania’s General Assembly has not yet passed the budget for FY 2025/26, and we are already two months into this fiscal cycle. This delay is creating another crisis while communities grapple with the longer-term implications of the recently passed HR 1 Tax Reconciliation Bill at the federal level. We want to hear from you via this 2025 Budget Impasse Survey so that we can raise a collective nonprofit clamor about the impact this delay has on real people in every neighborhood and community in the Commonwealth.

We know — our organizations are over-surveyed during times of urgency!

So, to eliminate duplicative work, various associations and networks, including RCPA, have come together to collect data regarding both the current and projected impact on both for-profit and nonprofit financials, staffing, and ultimately those served. We will share information with everyone involved so that the survey results can be analyzed and disseminated to the media and legislative contacts most efficiently. Below are the organizations that are coming together to collect this data in order to show you the importance of this information.

For more details about the length of the survey and those best suited to complete it, please see this PDF version so you can prepare. The initial survey deadline is 11:59 pm on Monday, September 15, 2025. For questions about the survey, please email Anne Gingerich, Executive Director, PANO.

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RCPA, alongside various associations and networks, shared a 2025 Budget Impasse Survey in order to collect data regarding the current and projected impacts on organizations in relation to the PA FY 2025/26 budget impasse. We are sending an update to stress that both for-profit and nonprofit organizations may participate in this survey.

We want to hear from your organization via this 2025 Budget Impasse Survey so that we can highlight the impacts this delay has on real people in every neighborhood and community in the Commonwealth.

We will share information with all parties involved so that the survey results can be analyzed and disseminated to the media and legislative contacts most efficiently. Below are the organizations that are coming together to collect this data in order to show you the importance of this information.

 
For more details about the length of the survey and those best suited to complete it, please see this PDF version.

The initial survey deadline is 11:59 pm on Monday, September 15, 2025.

For questions about the survey, please email Anne Gingerich, Executive Director, PANO.

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The Substance Abuse and Mental Health Services Administration (SAMHSA) has announced $43 million in new supplemental funding available to State Opioid Response program grantees to expand recovery housing services for young adults, ages 18–24.

This one-year supplemental funding requires grant recipients to develop and/or expand recovery housing services for young adults with opioid or stimulant use disorders. States and territories that accept the supplemental funding will also be able to provide treatment, including family-based treatment, provide dedicated care coordinators to assist in navigating various service sectors, and provide individuals with a range of recovery support services, such as coaching, vocational training, employment support, transportation, childcare, and more.

The current SOR formula will be used to calculate the award amounts for all 50 states.

More information is available on SAMHSA’s website.

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The FFY 2026/27 Community Mental Health Services Block Grant (CMHSBG) Draft Pennsylvania Application is now available for public comment. The CMHSBG is federal block grant funding that assists states in providing community-based services to adults with Serious Mental Illness and children with Severe Emotional Disturbance. This application provides a review of the current strengths and needs in the Pennsylvania mental health system and plans priority areas for improvement. The priorities were developed in consultation with representatives from the Pennsylvania Mental Health Planning Council. The CMHSBG Application public comment period will remain open until August 25, 2025.

Please access the application using the Webbgas Citizen’s login using the below credentials.

  • Login: citizenpa
  • Password: citizen

Submit any comments on this application to the CMHSBG Resource inbox.

RCPA is open to submitting members’ comments and feedback via our organization’s response to the public feedback process. If you would like to have RCPA submit comments on behalf of your agency, please contact RCPA Policy Associate Emma Sharp with any questions.

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The Mental Health Safety Net Coalition (MHSN) is a group of stakeholders participating in a joint advocacy effort to protect and preserve our mental health service delivery system. This week’s communication urges the General Assembly to end the budget impasse to ensure the system’s ability to provide care. Without a budget, community mental health services will not receive any payment, putting vulnerable Pennsylvanians at risk.

The full letter can be read here.

Please contact Emma Sharp with any questions or if you are interested in joining the coalition.

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H.R. 1 created a $50 billion fund called the Rural Health Transformation program in an attempt to offset the losses that rural health providers will experience associated with the other devastating cuts to health care in the legislation.

Each state must complete a one-time application for the five-year program to be reviewed by CMS. Many aspects of the application are still undecided, including the submission period, due date, state entity that must submit the application, and the form of the application. The RHTP application must include a plan to describe how the state would use the funds to:

  • Improve access to hospitals and other providers for rural residents;
  • Improve health care outcomes of rural residents;
  • Prioritize the use of new and emerging technologies that emphasize prevention and chronic disease management;
  • Initiate, foster, and strengthen local and regional strategic partnerships between rural hospitals and other providers to promote quality improvement, increase financial stability, maximize economies of scale, and share best practices;
  • Recruit and retain clinicians,
  • Prioritize data and technology driven solutions that help rural providers furnish health care services as close to the patient’s home as possible;
  • Outline strategies to manage long-term financial solvency and operating models of rural hospitals; and
  • Identify specific causes that are driving standalone rural hospitals to close, convert, or reduce service lines.

The funds will be distributed between 2026 and 2030, allotting $10 billion each year. $25 billion of this fund will be allocated equally among all states with an approved application by CMS. Assuming that all fifty states are approved, each state will receive a minimum of $100 million per year for five years. The other $25 billion will be distributed to states with an approved application in an amount determined by CMS based upon the state’s rural population, proportion of healthcare facilities in rural areas, and the situation of hospitals that serve a high proportion of low-income patients.

The bill lists several allowable uses of the PHTP funds:

  • Promoting evidence-based, measurable interventions to improve prevention and chronic disease management;
  • Providing payments to health care providers for the provision of health care items or services as specified by CMS;
  • Promoting consumer-facing, technology-driven solutions for the prevention and management of chronic diseases;
  • Providing training and technical assistance for the development and adoption of technology-enables solutions that improve care delivery in rural hospitals, including remote monitoring, robotics, artificial intelligence, and other advanced technologies;
  • Recruiting and retaining clinical workforce talent to rural areas, with commitments to serve rural communities for a minimum of five years;
  • Providing technical assistance, software, and hardware for significant information technology advances designed to improve efficiency, enhance cybersecurity capability development, and improve patient health outcomes;
  • Assisting rural communities to right-size their healthcare delivery systems by identifying needed preventative, ambulatory, pre-hospital, emergency, acute inpatient care, outpatient care, and post-acute care service lines;
  • Supporting access to opioid use disorder treatment services, other substance use disorder treatment services, and mental health services;
  • Developing projects that support innovative models of care that include value-based care arrangements and alternative payment models as appropriate; and
  • Additional uses designed to promote sustainable access to high quality rural health care services, as determined by the Administrator.

RCPA will continue to share information on the program and applications as it becomes available. Contact Emma Sharp with any questions.

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