HHS Announces Over $700 Million in New Funding to Combat Addiction, Mental Illness, and Homelessness

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The U.S. Department of Health and Human Services (HHS) has posted more than $700 million in new funding opportunities aimed at expanding access to behavioral health treatment, recovery services, crisis response, and support for people experiencing homelessness. HHS Secretary Robert F. Kennedy Jr. announced the funding, which includes a $96 million opportunity for a new program called Safety Through Recovery, Engagement, and Evidence-based Treatment and Support (STREETS), along with $612 million in funding opportunities for additional behavioral health programs.

The announcement came during a press conference following Kennedy’s visit to the Easterseals Michigan-Clinton Township Certified Community Behavioral Health Clinic. The funding represents one of the most significant federal investments in behavioral health in recent years and signals a renewed focus on treating addiction, mental illness, and homelessness as interconnected challenges that require coordinated solutions.

A New Approach: The STREETS Program

The STREETS program, housed within the Substance Abuse and Mental Health Services Administration (SAMHSA), will award eight communities up to $3 million a year for four years — distributing up to $24 million annually, totaling $96 million over four years, to help communities build comprehensive, modern care systems for people who are homeless and have substance use disorders, serious mental illness, or co-occurring conditions.

The program places special emphasis on rapid, comprehensive, and coordinated street-based engagement, treatment, and recovery support services, using a community-wide approach that brings together local government, health and housing providers, law enforcement, and the courts. The goal is to move people more quickly from crisis on the streets into stable treatment and long-term recovery, reducing reliance on hospital emergency rooms, shelters, and the criminal justice system as default responses to behavioral health crises.

Where the Rest of the Funding Is Going

Beyond the STREETS program, the remaining $612 million in funding opportunities includes $223.1 million for Certified Community Behavioral Health Clinics, $238.6 million for the 988 Suicide & Crisis Lifeline, $80 million for substance use prevention, treatment, and recovery, and more than $70 million for mental health services and supports.

Some of this funding includes grants for the National Child Traumatic Stress Initiative, Tribal Behavioral Health Suicide Prevention, the Rural Emergency Medical Services Training Program, and the Building Communities of Recovery Program.

SAMHSA Principal Deputy Assistant Secretary Christopher D. Carroll said every community deserves access to effective behavioral health services that help people prevent addiction, achieve recovery, address mental health challenges, and respond to crises. He described Certified Community Behavioral Health Clinics as a cornerstone of this effort, providing comprehensive, community-based care that helps people sustain recovery and rebuild their lives.

The initiative also reopens federal funding opportunities to faith-based recovery organizations, broadening the range of groups eligible to provide services. This may be especially relevant for community and faith-based recovery programs that have historically operated outside the reach of federal grant dollars.

What This Means for Minnesota

Minnesota has a long-standing relationship with the Certified Community Behavioral Health Clinic (CCBHC) model, one of the largest pieces of this funding package. Minnesota was one of the original states selected for the federal CCBHC demonstration project, which ran from 2017 through 2019. Today, organizations across the state, including providers in Ramsey County and across northern Minnesota counties like Beltrami, Carlton, Cass, and St. Louis, operate as state-certified CCBHCs.

CCBHCs are required to serve anyone who requests care for mental health or substance use, regardless of their ability to pay, place of residence, or age, and must offer crisis services 24 hours a day, seven days a week. For Minnesotans, continued federal investment in CCBHC funding could help strengthen the clinics many families already rely on for accessible, coordinated care, especially in greater Minnesota, where behavioral health resources can be harder to find.

While Minnesota is not among the eight communities that will be selected for the new STREETS program, the broader $612 million pool of funding, particularly the CCBHC and 988 Lifeline dollars, has direct relevance to Minnesota’s existing behavioral health infrastructure. Local clinics, counties, and recovery organizations interested in additional funding can watch for updates through SAMHSA and the Minnesota Department of Human Services.

What Comes Next

Applications for STREETS grants are expected to open in the coming weeks, with awards anticipated later this year. Some policy experts have also raised questions about how much of the announced funding represents entirely new money, as portions may stem from grants previously approved by Congress.

For organizations, treatment providers, or local governments interested in applying for STREETS or related SAMHSA funding opportunities, more information is expected to be made available on SAMHSA’s website as applications open.


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