Monday's sudden and unexpected termination of federal mental health and substance use disorder grant funding will have immediate and wide-ranging consequences for Minnesotans. The cancellation of these grants will result in the termination of around $27.5 million from DHS’ Behavioral Health Administration.

This terminated federal funding provided many benefits, including school-based mental health services for children, access to the life-saving overdose reversal drug naloxone, and critical treatment and recovery supports for individuals experiencing behavioral health issues.  This funding elimination means reduced access to care, worsened health disparities and an increased strain on an already-stretched mental health system in Minnesota.  

We know there will be immediate impacts to services and work that has been happening in the community, but it will take time to fully understand the magnitude of this federal action. DHS is working to determine which grantees will need to terminate programmatic work and activities related to this grant funding and where contracted project work must immediately cease. As we deal with the repercussions of this disruptive federal action, we will continue to coordinate with state and community partners to assess the situation.