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Journey says Dane County must act now to protect mental health crisis services

New President and CEO Sarah Valencia calls for sustainable funding model as Journey uses its own resources to cover a $1.8 million gap in Dane County funding

Contact: Larissa Lederman  

larissa.lederman@journeymhc.org

608-280-2408

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For immediate release

MADISON, WI — The Dane County Executive’s proposed 2027 budget is set to destabilize valuable mental health programs provided by Journey Mental Health Center, leaders warn. A flawed Medicaid revenue calculation will put mandated services at risk.  

Journey operates Dane County’s 24/7 Crisis Line, Mobile Crisis Response, Crisis Stabilization Services, Embedded Law Enforcement, Resource Bridge, CARES, and other community support programs. These programs serve anybody who needs them – regardless of insurance status, income, language, or physical ability. The people receiving these services do not receive a bill.  

Over the past four years, Journey has subsidized approximately $1.8 million for services Dane County is required by the state to provide. However, Journey no longer has reserves to continue to operate in this way and calls the situation unsustainable.

“Journey is calling on Dane County to take responsibility for fully funding the services they are required to provide,” states Sarah Valencia, President and CEO.  

The county’s budget process gives the County Board of Supervisors the ability to change the Executive’s proposed budget before the final budget is adopted. The Health & Human Needs Committee is scheduled to review its portion of the 2027 budget in October, followed by County Board action in November.

The Board of Directors for Journey has submitted a letter asking the Dane County Board of Supervisors to put the funding needed to sustain these services into the final 2027 budget.  

“This is not about asking Dane County to create a new service, we are here providing these critical services every day, 24/7,” says Wendy Johnson, Journey Board Co-Chair. “We are asking the county to fully reimburse Journey for the services they are state mandated to provide, and to budget accordingly or determine which of the services to cut or reduce.”

New leadership, a renewed focus on sustainability

Sarah Valencia became CEO of Journey Mental Health Center earlier this year. Valencia is focused on ensuring Journey can continue providing these critical services for the long term. Over the past several months Valencia has reached out to the County Executive and Dane County Department of Human Services leadership to try to resolve the issue.

“I was disappointed to see the County Executive did not include a resolution in her proposed budget. We are committed to these services and to the people who rely on them,” said Valencia, CEO of Journey Mental Health Center. “But sustainability matters. We cannot protect Dane County’s mental health safety net by putting Journey’s own long-term future at risk.”

A key part of that sustainability challenge is how Medicaid revenue is incorporated into Dane County’s funding model for Journey. Under the current funding model, Dane County’s budget for Journey includes projections for Medicaid revenue that is expected to help cover the cost of providing certain services. But the Medicaid revenue Dane County expects consistently falls short of those projections.  

The amount of Medicaid revenue generated by these services depends on factors such as Medicaid eligibility, the services people use, and how often they use them. Those factors are outside Journey’s control.

When the actual Medicaid revenue falls short of the amount projected in the county budget, Journey has been asked to absorb the difference.

Over the past four years, Journey has subsidized approximately $1.8 million for these services that Dane County is required by the state to provide.

Journey asking for a new, more sustainable funding model.

Journey is proposing a different approach for the 2027 budget. Under the recommended model, some programs, including Community Support Program (CSP) and crisis services, would move to an expense-based reimbursement model.

Under this approach, Dane County would approve a budget for each program based on the cost of providing the services. Journey would then be reimbursed for the actual cost of providing those services, within the approved budget. Dane County would retain the Medicaid revenue generated by those programs.

This would create a more predictable funding model for Journey and align financial responsibility with Dane County’s responsibility for providing these services.

Under the proposed model, Journey would no longer be responsible for covering the difference when Medicaid revenue falls short of the county’s projections. The county would retain the Medicaid revenue, while Journey would be reimbursed for providing the services within the county-approved budget.

“As a nonprofit organization, Journey can no longer continue absorbing recurring losses while providing services that Dane County depends on and that the county is responsible for making available,” concludes Valencia. “A new model must be adopted.”

About Journey Mental Health Center

Journey Mental Health Center (Journey) was started in 1948, originally called Dane County Mental Health Center. Today, Journey receives more than 35,000 crisis calls annually, serves nearly 11,000 people and has more than 230 employees. Journey provides an array of community- and clinic-based services, emergency services and medication management for mental health and substance use disorders to individuals and families in Dane County. If you or a loved one needs help you can reach Journey at 608-280-2720, 24/7. For more information on Journey Mental Health Center visit Journey Mental Health Center - Madison Mental Health Services

Interviews available to be scheduled with Sarah Valencia, President and CEO

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