View the 2026-27 Performance Contract
The performance contract is a transactional agreement between the Department and the Community Services Boards and Behavioral Health Authority community partners. Changes to this agreement may be made periodically to improve the business relationship, funding and delivery of program services for better alignment with the strategic initiatives of the Commonwealth.
The members of the VACSB Policy/Admin Committee are elected as the decision-making body for the PC by the Community Services Boards and the DBHDS OEMS serves as the PC administrator and liaison between the Department and the VACSB Policy/Admin Committee. The Committee leads for this effort are Mark Chadwick as Chair and Ellen Harrison as Vice-chair for the CSBs and Chaye Neal-Jones and Brian Watson as Co-chairs for DBHDS. This review is finalized from the Committee’s perspective and now provides the individual CSBs the opportunity to review the agreement and post for public comment. We encourage you to take the time to familiarize yourself with all these documents to understand what is required but we would like to bring your attention to certain changes from this review period.
The review process began in August of last year with DBHDS Office of Enterprise Management Services (OEMS) and the VACSB Policy/Admin Committee (VPAC) around revisions to the PC. The OEMS also worked internally with the various offices responsible for certain sections of the PC to address any required changes, revisions for clarity, and remove any outdated or redundant information from certain PC documents. The focus for this review cycle was the following:
-
Performance Contract Master Agreement (General Terms and Conditions)
-
Medicaid Billing Language
-
- Exhibit B- Continuous Quality Improvement (CQI)
- Exhibit E - PC Schedule and Process
- Exhibit F - Federal Grant Requirements
- Exhibit G - CSB Master Programs Services Requirements
- Exhibit I - IT Security & Compliance
- Exhibit M: Department of Justice Settlement Agreement Requirements (DOJ SA)
- Addendum I - Administrative Requirements and Processes and Procedures
- Appendix C: Unspent Balances Principles and Procedures
- Appendix E: Administrative Requirements for Accounts Receivables
- Appendix F: Regional Program Operations
- CSB Executive Director and Chief Financial Officer Training
- State and Federal Indiret Cost Rate Policy
- Local Match
AMENDMENTS - FY2026 and 2027 Community Services Performance Contract
Certain amendments provided below are in compliance with required Code of Virginia and Budget amendment changes Items 299#1s and 299 #8s. Outlined here are the material changes to the PC for your review.
1.1 Performance Contract Master Agreement (General Terms and Conditions)–
Medicaid Billing Language Amendment - Item 299 #8s- the PC is amended to include the required budget amendment language - See attached draft- .01.0 P1636.4_FY26-27AMD4_MASTER PC 7.1.2026-Medicaid Billing_CSBv6.21.26
1.2 Exhibit B: Continuous Quality Improvement (CQI)- this Exhibit has been amended based on the work done internally and externally to bring clarity to certain BH QMS core measures, established measure benchmarks and track progress toward targets, and Quality Improvement Initiatives to address systemic issues. See attached draft- 03. P1636.4-FY26-27Exhibit B AMD4 CQI 7.1.26CSBVersion
1.3 Exhibit E: Performance Contract Schedule and Process – amended to provide the CSBs specific due dates for Department required reporting submissions for the performance contract, financial data, program related required data submissions, local government audits and Certified Public Accountant (CPA) audits for FY26-27. It also provides specific dates for disbursement of state and federal funds to the CSBs. And provides clarity around local match due dates. See attached draft- .06. P1636.4-FY26-27Ex.EAMD4_ PC Schedule and Process7.1.2026 CSBv6.21
1.4 Exhibit F: Federal Grant Requirements – amended to add an addendum for Health and Human Services required language regarding Compliance with Civil Rights. Also, required SMASHA language regarding Charitable Choice was removed but needs to be put back in the PC to reflect the current federal grants and their general and specific terms and conditions. These are required material changes that are not negotiable as a Subrecipient of federal funds. We encourage you to familiarize yourself with this information as a Subrecipient of federal funds. See attached draft- .07. P1636.4 -Exhibit F AMD4 - FY26-27 Federal Grant Requirements7.1.26 and 07. P1636.4-FY26-27Ex.F_C_
1.5 Exhibit G: Community Services Boards Master Programs Services Requirements – this exhibit has been amended to provide clarity around terms and conditions and points of contact for certain programs services that a CSB may provide to reduce the amount of Exhibits D the Department and CSBs will have to review, process, and track. Keep in mind that this is not inclusive of all programs/services a CSB may provide, just those that it may have received on a regular basis for review and execution that have well established baseline requirements, with minimal to no changes, and/or part of ongoing baseline funding received from the Department. See attached draft- 08. P1636.4-FY26-27ExGAMD4_
1.6 Exhibit I - IT SECURITY AND COMPLIANCE - PC is amended to add Exhibit I for CSBs compliance with certain state and federal laws to protect sensitive healthcare data and protect both parties from unnecessary data security risk. See attached draft- P1636.4_FY27PC Ex.I_IT_AI Security ComplCSBv6.18.26._ (002)96
1.7 Exhibit M: Department of Justice Settlement Agreement: amended as required for clarity with DOJ compliance to ensure compliance and align with the QI strategy. These are required material changes that are not negotiable. Please review to understand the requirements. 13. See attached draft - P1636.4 26-27AMD4Ex.MDOJSA_7.1.26
1.8 Addendum I Administrative Requirements and Processes and Procedures
- Appendix C: Unspent Balances Principles and Procedures – amended in its entirety to provide clarity, alignment with DBHDS policies, Appropriation Act and General Assembly funding expectations. See attached draft- 14. P1636.4 FY26-27 Add 1_AMD4Appx C-Unexpend_State_Funds_Clean_
6_10 - Appendix E: Administrative Requirements for Accounts Receivables – amended to add language for changes requested by Commissioner Washington to look at development of KPIs in the first quarter of FY27 by the established workgroup to obtain better data around Medicaid billing. See attached draft- 14. P1636.4 FY26-27 Add I-AMD4 Appdx E and FAdmReq7.1.2025CSBv.21.26
- Appendix F: Regional Program Operations -amended to incorporate missing language from Core Services Taxonomy. See attached draft- 14. P1636.4 FY26-27 Add I-AMD4 Appdx E and FAdmReq7.1.2025CSBv.21.26
- CSB Executive Director and Chief Financial Officer Training – amended to add language for training of CSB essential staff to improve engagement with DBHDS, establish role clarity, compliance, and system access requirements. See attached draft- 14. P1363.4_FY26-27Add I-AMD4 Adm Req - ED_CFOTrain7.1.2026
1.9 FY27 State and Federal IDCR Policy – DBHDS policy was revised to provide clarity around federal and state indirect cost rate requirements for CSBs and DBHDS staff. See attached draft- FY27 State_and_Federal_Indirect_
1.10. Local Match – No changes to the PC- awareness that directs the Department of Behavioral Health and Developmental Services to examine alternatives to the current 10.0 percent local match requirement on state Community Services Board funding and to report to the Behavioral Health Commission by November 1, 2026, with recommendations. See Item 299#1s
Contact Us Now For
Individualized Competent Care
Southside Behavioral Health provides individualized culturally competent care in our communities, by supporting wellness and quality of life in a recovery-oriented environment and professional manner.