• Authorizes $6.38 billion in state general obligation bonds for mental health treatment facilities ($4.4 billion) and supportive housing for homeless veterans and homeless individuals with behavioral health challenges ($2 billion).
• Amends Mental Health Services Act to:
• Allow funding to be used to treat substance use disorders (instead of only mental health disorders);
• Re-allocate funding for full-service treatment programs, other behavioral health services (e.g., early intervention), and housing programs;
• Require annual audits of programs.

SUMMARY OF LEGISLATIVE ANALYST'S ESTIMATE OF NET STATE AND LOCAL GOVERNMENT FISCAL IMPACT:

• Shift roughly $140 million annually of existing tax revenue for mental health, drug, and alcohol treatment from counties to the state.
• Increased state costs to repay bonds of about $310 million annually for 30 years. These bond funds would be used to build (1) more places where people can get mental health care and drug or alcohol treatment and (2) more housing for people with mental health, drug, or alcohol challenges.

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FINAL VOTES CAST BY THE LEGISLATURE ON AB 531 (PROPOSITION 1)
(CHAPTER 789, STATUTES OF 2023)