Salem, Oregon – Governor Tina Kotek, the Association of Oregon Counties, and the Oregon Health Authority have reached a statewide agreement that officials say will reshape how behavioral health services are funded, tracked, and delivered across Oregon.
This week, the Governor’s Office announced that all 36 Oregon counties have signed updated County Financial Assistance Agreements, known as CFAAs. The move closes the door on a contractual structure that had been in place for roughly 30 years and opens a new chapter built around clearer rules, measurable results, and a better understanding of what communities need on the ground.
The agreements are meant to give Oregon a more complete, real-time picture of how state behavioral health dollars are being used by counties. That includes where mental health and addiction services are working well, where serious gaps remain, and where future funding may need to go first.
“Oregonians with mental health or addiction care needs are counting on the service system to work,” Governor Kotek said. “This shared commitment means we can move forward together with more urgency, clarity, and purpose.”
The updated agreements were developed through work between the Governor’s Office, OHA, and county leaders. State officials said the goal is not simply to change paperwork, but to create a system that is more transparent, better coordinated, and more responsive from county to county.
County leaders also described the agreements as a step toward stronger local flexibility, with more predictable funding and clearer expectations.
“Counties are on the front lines delivering services, and now are committed to the clearer expectations, more predictable funding, and shared outcomes these agreements represent,” Erin Skaar, AOC President and Tillamook County Commissioner, said. “We are grateful to the Governor’s Office for working with counties to make sure we can tailor local programs to better meet our communities’ needs.”
The announcement comes after several years of major state investments in behavioral health. Since 2021, Oregon has invested more than $300 million to expand residential mental health and substance use disorder treatment capacity. The state has also funded 24/7 crisis services, including access through the 988 Suicide and Crisis Lifeline, launched the Mobile Crisis Training Academy, and expanded workforce programs through tuition assistance, loan repayment, recruitment, and retention efforts.
OHA Behavioral Health Director Ebony Clarke said the completed agreements should be seen as the beginning of a larger effort.
“Full execution of the CFAAs across all counties is not the finish line — it’s the starting line,” Clarke said. “These agreements give us the tools to see clearly where our system is performing, where it is falling short, and where we must act with greater urgency. Counties are critical partners, and now we are all aligned and accountable.”
State, county, and health officials said the broader aim remains direct: making sure every Oregonian, regardless of where they live, can reach timely and reliable mental health and addiction services when they need them.
