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BHSD Proposals and Public Comment

Sidonie Squier, Cabinet Secretary

Sidonie Squier, Cabinet Secretary

HSD Mission: To reduce the impact of poverty on people living in New Mexico by providing support services that help families break the cycle of dependency on public assistance.


Medicaid Modernization

CSED Bench Warrants Program

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Behavioral Health Capital Fund Program

Dear Medical Service Provider:

The Behavioral Health Capital Fund Program (BHCFP) is now accepting applications.

The Human Services Department in collaboration with the Behavioral Health Purchasing Collaborative is partnering with the New Mexico Finance Authority (NMFA) to provide long-term, low-cost financing for purposes of physical improvement to existing structures, repair, renovation or construction of a behavioral health care facility. Funds may be used to purchase land, project planning and design and purchase of capital equipment. Funding may not be used to purchase office supplies or for general operating expenses.
To be considered for this BHCFP loan, applicants must submit a complete and signed Application For Financial Assistance. Contingent upon a sufficient balance in the fund, the Human Services Department (HSD) and the New Mexico Finance Authority (NMFA) will accept applications yearly. The application period for State Fiscal Year 2007 starts January 2nd and will close on March 3rd, 2008

  • Your organization must be a non-profit with a designation of 501 (c) (3) for federal income tax purposes;
  • Serves primarily sick and indigent (behavioral health) patients; and
  • Your organization may not have more than ten million dollars in assets

Applicants for loans must ensure that processes are in place that assures no person will be denied services because of inability to pay; policies that maximize patient collections; provide satisfactory evidence regarding title, easements, leases and right of ways on the property; and comply with federal, sate, and local laws and rules.

Once eligibility has been verified the loan application will ensure that the applicant meets the priority for the loan program as established in the New Mexico Administrative Code (7.20.4.9.C). This includes:

  • any additional priorities for loans from the fund established by the Human Services Department;
  • community need and support; which may include the identification of other funding;
  • facility or equipment needs;
  • appropriateness of the project;
  • the ability of the applicant to maintain behavioral health care services;
  • whether making the loan will help achieve the goal of a fair geographic distribution of loans.

In addition, the loan application must include evidence that:

  • The application is supported by your Local Collaborative prior to loan approval;
  • The organization is a ValueOptions New Mexico Contractor.
  • The organization has been licensed for more than three years.
  • The organization must be providing behavioral health

This loan program offers a 3% low-interest rate for the specific project and allows up to a 20% forgiveness rate on the monthly payment depending upon the level of service to indigent clients. The organization will be required to certify that it provides care to indigent patients free or at a reduced cost. The organization will be required to submit quarterly reports documenting these services

If the organization meets the criteria, it may submit a loan package. Once the loan packet is completed and submitted within the authorized time frames a review committee will evaluate the application based upon the criteria, eligibility, programmatic priority, feasibility and readiness to proceed. A review committee established by the HSD and NMFA will evaluate and make a written recommendation to the NMFA Board for funding select applications.

The Authority through this review committee will evaluate the application for programmatic and financial feasibility. The financial evaluation must include a finding that the useful life of the project will meet or exceed the final maturity of loans made.

The application shall be signed by the authorized representative and submitted to Tom Smith:

Application Packet

Hard copies of the packet will be provided upon request.

Applicants requiring technical assistance or have questions related to the financial aspects of the application should contact Traci Davis, Program Administrator - New Mexico Finance Authority [207 Shelby Street, Santa Fe, New Mexico 87501 - phone: 992-9637 or 984-1454 (main line) or tdavis@nmfa.net Questions regarding your application should be directed to Tom Smith - (Tom.smith1@state.nm.us) at the Behavioral Health Services Division by calling 505-827-2648.