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

The Department of Health and Human Services (HHS) has unveiled a major federal investment of more than $700 million aimed at expanding access to addiction treatment, mental health services, and housing support for vulnerable populations. The announcement, made by Secretary Robert F. Kennedy Jr. on June 17, 2026, in Clinton Township, Michigan, represents one of the largest single funding packages for behavioral health initiatives this year.

Breaking Down the $708 Million Investment

The funding package includes multiple grant programs targeting different aspects of the nation's behavioral health crisis. At its core is the Safety Through Recovery, Engagement, and Evidence-based Treatment and Support (STREETS) program, a new $96 million initiative that will award grants to eight communities over the next four years.

Each selected community will receive up to $3 million annually to develop what HHS describes as "multisector, state-of-the-art care systems" for individuals experiencing substance use disorders, severe mental illness, and housing instability. The program specifically targets areas with high rates of overdose deaths and limited access to comprehensive treatment services.

CCBHC Expansion Takes Center Stage

A significant portion of the funding—$223.1 million—will support the Certified Community Behavioral Health Clinic (CCBHC) Improvement and Advancement Grants. These funds are designed to help existing CCBHCs enhance their service delivery while preparing new clinics for certification.

Additionally, $94 million has been allocated for CCBHC Planning, Development, and Implementation Grants, which will help establish new clinics in underserved areas. Another $12 million will support state-level planning efforts to develop certification systems that prepare states to participate in the CCBHC Medicaid Demonstration Program.

The CCBHC model has gained bipartisan support for its comprehensive approach, requiring clinics to provide 24/7 crisis services, medication-assisted treatment for substance use disorders, and care coordination regardless of a patient's ability to pay.

Additional Funding Streams

Beyond the STREETS program and CCBHC expansion, the announcement includes several other targeted initiatives:

• $238.6 million for comprehensive community-based behavioral healthcare programs
• $117.1 million for CCBHC improvement and advancement grants
• $94 million for CCBHC planning, development, and implementation
• $12 million for CCBHC state planning grants

The funding also emphasizes partnerships with faith-based organizations and community groups, reflecting the administration's priority of engaging local stakeholders in addressing behavioral health challenges.

What This Means for Communities

For families struggling to find treatment for loved ones, this funding expansion could translate into more available services in historically underserved areas. The STREETS program specifically targets communities where the intersection of addiction, mental illness, and homelessness has created complex challenges that traditional service models have struggled to address.

The CCBHC expansion is particularly significant for rural and low-income communities, where behavioral health provider shortages have left residents with limited options for care. By funding new clinic development and supporting existing providers, HHS aims to reduce geographic disparities in access to evidence-based treatment.

Application Timeline and Process

Organizations interested in applying for these funding opportunities should monitor SAMHSA's grants portal closely. The application process typically requires detailed proposals outlining community needs, implementation plans, and sustainability strategies.

Priority consideration is expected for communities with demonstrated need, existing partnerships between healthcare and social service providers, and comprehensive plans for addressing co-occurring substance use and mental health disorders.

Looking Ahead

While the $708 million represents a substantial federal investment, public health experts note that sustained funding will be necessary to address the scale of the nation's behavioral health crisis. The four-year structure of the STREETS program and the ongoing nature of CCBHC grants suggest this administration is viewing behavioral health as a long-term priority.

For families navigating the complex landscape of addiction treatment and mental health services, these new funding streams offer hope for expanded access to the comprehensive, coordinated care that research shows produces the best outcomes for recovery.

If you or someone you know is struggling with substance use or mental health challenges, help is available. Call or text the SAMHSA National Helpline at 988 or 1-800-662-HELP (4357) for free, confidential support 24/7.