JBC delays decision on $1.5 million MTCF transfer to youth mental health program, seeks fuller forecast

The Joint Budget Committee on Monday discussed, but did not approve, a Governor’s request to reallocate $1,500,000 from the marijuana tax cash fund (MTCF) to the Youth Mental Health Corps, a program now coordinated through the lieutenant governor’s office.

Mr. McLear, presenting staff recommendations, said the request would add $1.5 million in MTCF to a program that today is funded primarily with federal AmeriCorps dollars and some private grants. Craig Harper, JBC staff, said the state money would be combined with about $7 million in federal AmeriCorps funds to expand the program and support costs such as cost-of-living adjustments and credentialing.

Several committee members pressed for more clarity on where the state dollars would come from and whether the transfer reduces funding for the early literacy program. "Is it right that we're taking money from the early literacy fund to fund the youth mental health core?" asked Senator Mabile. Mr. McLear said the governor proposed the MTCF reallocation and staff is analyzing whether reserves in the marijuana tax cash fund make the shift acceptable; he advised the committee the MTCF forecast in March will show more about whether the offset is feasible.

Representative Taggart and others said they were concerned about swapping funds between education programs and said the committee should see the full fiscal picture before endorsing a reallocation. "If it's an education program and we're swapping dollars, to me it belongs in education," Representative Taggart said.

Because the committee lacks a full MTCF forecast, members agreed to hold the request and to seek additional information: the precise prior funding mix for the Youth Mental Health Corps, the program’s bill or statutory authority, and whether a planned $1.5 million general-fund offset exists in current documents. Staff also flagged that part of the early-literacy offset was already discussed in separate figure-setting for the Department of Education.

The committee did not vote on the transfer; Mr. McLear said staff will return after the March forecast with a formal recommendation and additional documentation about the program’s funding history and anticipated impacts.

What’s next: Staff returns with the March MTCF forecast and a supplemental recommendation on whether the proposed $1.5 million MTCF reallocation is supportable.