Senate Bill 688 - MHSA Transparency

February 12, 2018

SB 688 Assembly Floor

SB 688 Senate Health

SB 688 Senate Floor 1/29/2018

SB 688 Senate Floor 8-20-2018


Senate Bill 688 addresses the Mental Health Services Act and the need to improve financial reporting standards when using MHSA funds. Counties will be required to complete their Annual Mental Health Services Act Revenue and Expenditure Report (ARER) in compliance with generally accepted accounting principles (GAAP), and uploaded in machine-readable format to the websites of the Department of Health Care Services (DHCS) and the Mental Health Oversight and Accountability Commission (MHSOAC).

Issue Background

Currently, each county in California uses Prop 63 funds in their own unique ways, and while more than $1.5 billion of MHSA funds have been made available in recent years, the state could use a consistent standard of financial reporting. In an effort to make all segments of California’s finances transparent, this bill will apply GAAP, a nationally recognized system of accounting standards, to county ARERs, and if they are submitted in a machine-readable format they will be easier to access and analyze.




Spencer Street, (916) 651-4037