Block grants for Minnesota’s mental health programs
Minnesota’s Department of Human Services has warned of both immediate and broad consequences after the Trump administration canceled a $27.5 million grant in grant funding for mental health and substance abuse treatment programs.
The funds are part of federal COVID-19 relief funds, which are due to expire in September. However, DHS said Monday’s “sudden, unexpected ending” means that statewide programs and projects will be over.
“This removal of funds means less access to care to Minnesota’s already growing mental health system, worsening health disparities and increasing burdens,” said Interim DHS Commissioner Shireen Gandhi in a statement Wednesday afternoon.
DHS is working to identify exactly which programs and grantees will be affected.
Minnesota’s mental health system has been pushed to its limits since the pandemic. Programs that treat individuals struggling with substance use disorders struggled to remain open due to increased demand and low rates of reimbursement from medical assistance.
Data reviewed in five surveys indicates that the crisis continues to worsen. DHS licensing data lists more than 400 substance use disorder treatment programs currently operating in Minnesota. The number of active programs has decreased by 3.5% since the second half of 2023.
Programs that are closed or not operating account for more than 8% of the total licenses listed in the DHS database. Six of these programs have been closed in the past three months.
The DHS said it will coordinate with state and community partners to assess the situation.
