FY28 Budget Request

DMH has submitted the below request for its FY28 budget. The agency presented its request to the Legislative Budget Office on Thursday, Oct. 1, 2026. The details below may change during the legislative process, and updates will be posted here as needed.​

Funding Source General Funds*	Total Request FY28 $286,275,368
State Support Special Funds	$21,846,886
Other Special Funds	$457,380,857
Total	$765,503,111

*General funds requested include $21,218,855 increase from FY27:

• $4,470,400 to enroll 200 people on the ID/DD Home and Community Based Waiver
• $7,263,025 for continued operation needs, including filling vacant positions at 24/7 DMH operated programs and Medicaid state share match ($3,394,134)
• $3,907,255 for personal services for 3% in-range adjustments for employees earning under $100k and educational benchmarks
• $3,078,175 for Electronic Health Records recurring support and maintenance
• $2,500,000 for positions and operation of two step-down acute psychiatric programs in Desoto County to reduce wait times for acute psychiatric beds

Items requested for funding and implementation in FY28 are requested as follows: 

• ID/DD Home and Community Based Waiver – This request is for the state share of adding an estimated 200 enrollees in the Medicaid ID/DD Waiver program. DMH is responsible for the administration of the Waiver program. The Waiver includes an array of services aimed at assisting people to live as independently as possible in their home and community. The Waiver is funded through Medicaid, with the state share of the Medicaid match appropriated to DMH. At the end of FY26, approximately 2,700 people were on the Planning List. The number of enrollees at the end of FY26 was 2,816. The amount requested in state share to enroll additional 200 people is $4,470,400 in general funds. 

• Continued Operational Needs – Due to escalating workforce expenses to meet the needs of Mississippians served at DMH’s 24/7 programs, and reduction in funding related to vacant positions, this funding is requested to assist and restore operational costs needed to provide the current level of service. The amount requested is $7,263,025 and also includes state share of Medicaid match ($3,394,134).

• Personal Services – There are significant staffing needs at DMH operated programs that provide 24/7 care for Mississippians with mental illness and intellectual or developmental disabilities. People served by DMH operated programs are some of the state’s most vulnerable citizens who often cannot or will not be served by another healthcare provider. The cost of providing healthcare, including the workforce needed who provide the care, has steadily increased over the last several years. Without adequate staffing, Mississippians receiving services at these programs and the staff providing those services can be placed into challenging and sometimes unsafe situations. Funding requested in salaries is to help stabilize the DMH workforce and includes a 3% in-range salary adjustment for employees who earn under $100,000 and in-range salary adjustments for employees who have achieved completion of the qualifications for approved programs. Approximately 66% of DMH employees earn less than $40,000 and 90% are not at market. The amount requested is $3,907,255 and includes state share of Medicaid.

• Electronic Health Records – With the implementation of a new Electronic Health Record (EHR) system for DMH programs (IDD regional programs and behavioral health programs), funds are requested for ongoing operational support and maintenance of the system. The amount requested is $3,078,175 for the operating and state share portions, depending on the facility.

• DeSoto County Group Home – DMH requests $2,500,000 million to support the operation of two currently vacant 10-bed group homes located in DeSoto County. These homes, which are owned by the Mississippi Department of Mental Health (DMH), will be operated by North Mississippi State Hospital (NMSH) as 20 residential step-down treatment beds for Mississippians who are being discharged from state psychiatric hospitals under an Outpatient Commitment Order (OPC). The homes will serve Mississippians who no longer require inpatient hospitalization but are not yet stable enough to safely return to independent or family living. Operating both homes will require approximately 30 full-time staff to provide 24-hour supervision, treatment, and support.