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Economic And Social Impacts of CBH’s Medicaid Funding

As Philadelphia’s Behavioral Health Managed Care Organization, CBH provides behavioral health care coverage for over 788,000 Medicaid-eligible residents through a network of more than 260 treatment providers, ensuring access to culturally responsive, high-quality behavioral health care that meets their specific needs.

This report illustrates the significant economic role that CBH plays in fueling the health care ecosystem, showing that CBH powers Philly and PA.

It also examines the potential economic losses resulting from Medicaid eligibility reductions expected under the federal One Big Beautiful Bill Act (OBBBA).

Infographic summarizing the economic impact of Community Behavioral Health in Philadelphia and Pennsylvania.
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Data Highlights

According to the report’s analysis, CBH generates:

  • $2.01 billion in annual economic output statewide, supporting 13,450 jobs and $986 million in employee compensation.
  • $1.43 billion in annual economic output within Philadelphia, supporting 9,950 jobs and $762 million in employee compensation.
  • $27 million in annual tax revenue for the City of Philadelphia and $274 million for the Commonwealth of Pennsylvania, including $199 million in Managed Care Organization (MCO) assessment fees.
Medicaid eligibility reductions expected under the federal One Big Beautiful Bill Act are projected to:
  • Eliminate Medicaid coverage for an estimated 67,200 Philadelphians.
  • Reduce CBH’s expenditures by $111 million annually, resulting in the loss of 810 jobs in Philadelphia and 1,110 jobs statewide.
  • Decrease the annual tax revenue CBH spending generates by approximately $2 million for the City of Philadelphia and $23 million for Pennsylvania.

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