President and COO
Across California, behavioral health has become a top funding priority. Counties, hospitals, and nonprofits are racing to expand treatment centers, crisis stabilization units, and outpatient clinics. But behind every successful project is a clear roadmap that defines how the program will be licensed, funded, and built in a way that is both compliant and cost effective.
The Proposition 1 Behavioral Health Bond and ongoing Behavioral Health Continuum Infrastructure Program (BHCIP) have opened the door for billions in capital investment. These grants are designed to create new beds and outpatient capacity across the state, and many nonprofit providers are in line to benefit.
That said, funding rarely comes from one place. Most behavioral health facilities are financed through a mix of state grants, federal programs, and private support. In addition to Prop 1 and BHCIP, viable sources include:
The key is to understand how each source aligns with your project type and timeline. Each program has its own definition of “shovel-ready,” and aligning that definition early can save months during the award and reimbursement process.
Behavioral health projects carry unique design and code challenges. The type of license you pursue (whether through DHCS or HCAI) dictates everything from room configuration to hardware selections. Details like ligature-resistant fixtures, security zones, and staff visibility are not simply design preferences; they’re regulatory requirements tied directly to patient safety and operational approval.
Clarifying your intended license and occupancy early ensures your design and construction documents will pass review the first time, rather than triggering redesign later.
Bringing a contractor into the planning process early doesn’t just inform cost, it shapes the entire project strategy. Experienced builders can help assess site feasibility, map realistic budgets, and sequence permitting around funding milestones. Early cost modeling also helps boards and funders see the project’s true scope before applications are submitted.
Design-build delivery has become more common for behavioral health facilities for exactly this reason. It allows design and construction teams to solve problems collaboratively, rather than hand them off in sequence.
Planning a behavioral health facility today requires as much attention to funding and compliance as it does to design. Nonprofits that start early, clarifying their program needs, license path, and funding stack, are the ones that move from concept to groundbreaking without getting stuck in the middle.
Even if your project is still just an idea, it’s worth starting the conversation with your architect, builder, and potential funding partners now. A few months of early planning can make the difference between a project that sits in review and one that opens its doors on schedule
Need some more information regarding a project you’re pursuing?
Email me at: j.simile@similebuilt.com.
Joseph J. Simile
President, Simile Construction
209.545.6111
