Introduction
The Virginia Department of Behavioral Health and Developmental Services (DBHDS) has released a critical update that will impact new and existing providers across the Commonwealth. Effective July 30, 2025, DBHDS will officially implement a new service prioritization framework that affects licensing timelines and resource allocation. Virginia DBHDS has officially added more behavioral health services to the licensing waitlist. You can find the update here!
As a behavioral health consulting firm specializing in licensing, billing, and credentialing, Revive BHS is here to break it down and help providers navigate the changes.
What’s Changing with the Licensing Waitlist?
To better address areas of greatest need, DBHDS has reclassified behavioral health services into three categories:
- Priority 1: Highest unmet need. Applications for these services will be prioritized and reviewed within 5–10 business days of submission.
- Priority 2: Important, but with more moderate need. Applications will be assigned within 21 business days.
- Non-Priority: Services deemed sufficiently available or outside current strategic focus. These will be placed on a waitlist and assigned slowly over time, potentially causing significant licensing delays.
In addition to the reclassification, DBDHS has also added more behavioral health services to the licensing waitlist. There are now significantly more “non-priority” services than in years past.
Why This Matters
If your agency is applying for a non-priority service, you could face indefinite wait times for policy review—regardless of how complete your application is. You cannot operate in the state of Virginia without a valid license from DBHDS. This change will particularly affect providers pursuing common residential and outpatient services that fall outside of Priority 1 or 2 categories.
Priority Services You Should Know
Below is a list of services that are still considered Priority:
- ASAM 3.3 Residential (High-Intensity SUD – Adults)
- ASAM 3.7 High-Intensity SUD – Youth
- SA MAT Opioid Treatment Programs (OTPs)
- Day Support – Non-Center-Based for DD (Adults & Youth)
- Crisis Receiving Centers (23-Hour Stabilization – Adults & Youth)
- Sponsored Residential (MH, DD Children)
- Therapeutic Group Homes for Youth (MH)
- ASAM 3.5/3.1 SUD – Youth
Key Mental Health & Substance Abuse Services Now Classified as Non-Priority
Under the July 2025 DBHDS memo, a number of behavioral health services that were once widely licensed across Virginia are now being deprioritized — meaning new applications will be waitlisted, potentially for months or longer.
Here are some critical MH and SA services that are now officially Non-Priority:
Residential & Inpatient Services
- SA Medically Managed Inpatient – ASAM Level 4.0 (Children)
- MH Residential Group Home for Adults
- MH Residential Treatment Service for Adults
- MH Inpatient Psychiatric Services (Adults & Children)
- PRTF – Psychiatric Residential Treatment Facility for Youth
Community-Based and Day Services
- MH Therapeutic Day Treatment (TDT) for Children and Adolescents
- SA Intensive Outpatient (ASAM Level 2.1) for Adults
- MH Intensive In-Home for Children and Adolescents
- MH Community Crisis Services (Non-Center-Based)
Case Management & Wraparound Supports
- SA Case Management
- MH Case Management (Adults & Children)
ACT Teams (All Sizes)
- MH ACT Services – Small, Medium, and Large Team Models
Already Applied? Here’s What to Do
If your application was submitted before July 30, 2025: It will proceed through the standard review process, assuming you respond to deficiency letters on time.
If your service is now classified as non-priority: Expect to remain on the waitlist unless you withdraw and apply for a higher-priority service.
Want to challenge your priority status? You may submit local need data (e.g., service deserts) to DBHDS to request reclassification.
How Revive BHS Can Help
At Revive BHS, we specialize in guiding behavioral health providers through the complex landscape of Virginia licensing, credentialing, and billing. With these new changes, strategic planning is more important than ever. We help:
- Identify the fastest path to licensure based on service priority
- Provide data-backed recommendations if your region lacks essential services
- Expedite Medicaid credentialing and billing setup once licensed
- Assist with withdrawing and resubmitting applications to align with DBHDS priorities
Reach out today to learn how our team can helps yours!