Montana: Behavioral Health News
Montana faces evolving challenges in behavioral health care access, workforce capacity, and policy reform. Below is a running tracker of Montana therapy, mental health, and behavioral health policy developments from 2025 and 2026.
August 2026
August 12, 2026 — Montana prepares October launch of Certified Community Behavioral Health Clinics
Montana health officials finalized operational guidelines for the statewide launch of CCBHCs, creating integrated one-stop clinical centers providing outpatient therapy, crisis stabilization, and psychiatric care with sustainable Medicaid rates.
Source: Montana Department of Public Health and Human Services
July 2026
July 1, 2026 — Montana enacts Medicaid Expansion community engagement requirements affecting adult behavioral health beneficiaries.
New state rules went into effect requiring most non-exempt adults aged 19 to 64 enrolled in Medicaid Expansion to complete 80 hours per month of work or qualifying activities. Behavioral health advocates and providers raised concerns regarding potential coverage gaps for individuals actively undergoing mental health or addiction treatment. DPHHS established an exemption process for beneficiaries medically certified as unfit for work due to physical or mental illness.
Source: https://dphhs.mt.gov/News/2026/July/MedicaidCommunityEngagementRequirements
May 2026
May 20, 2026 — Montana selected for federal Certified Community Behavioral Health Clinic Medicaid Demonstration Program.
Federal officials selected Montana as one of ten states to participate in the Certified Community Behavioral Health Clinic (CCBHC) Medicaid Demonstration Program. CCBHCs provide 24/7 crisis response, outpatient mental health, and substance use treatment regardless of a patient’s age or ability to pay. The four-year program transitions Montana toward a sustainable prospective payment system for community behavioral health clinics under the Behavioral Health System for Future Generations initiative.
May 18, 2026 — Montana announces $1.2 million investment to expand in-state psychiatric residential treatment capacity for youth.
Governor Greg Gianforte and DPHHS Director Charlie Brereton awarded two-year grants of $618,500 each to Shodair Children’s Hospital and Yellowstone Boys and Girls Ranch. The funding increases in-state psychiatric residential treatment facility (PRTF) bed capacity so youth with severe emotional disturbances can receive high-acuity care closer to home. The investment builds on the $123 million behavioral health package enacted during the 2025 legislative session.
December 2025
December 11, 2025 — Governor Gianforte announces $233 million federal investment to modernize rural healthcare and tele-mental health services.
Montana secured $233 million through the federal Rural Health Transformation Program to modernize healthcare infrastructure across rural and frontier counties. A key focus of the funding is expanding tele-mental health coverage, training rural crisis responders, and supporting behavioral health workforce recruitment. The multi-year plan targets underserved areas to ensure Montanans in remote communities have access to essential mental healthcare.
Source: https://news.mt.gov/Governors-Office/Montana_Secures_233M_Rural_Health_Investment
November 2025
November 19, 2025 — State selects Laurel as the site for a new $26.5 million regional forensic mental health facility.
Montana state officials selected Laurel to construct a new regional behavioral health facility funded by a $26.5 million appropriation under House Bill 5. The secure facility will conduct court-ordered psychiatric evaluations and crisis stabilization for individuals in the criminal justice system. The project aims to alleviate chronic bed backlogs and long evaluation waiting lists at the main Montana State Hospital in Warm Springs.
Source: https://dphhs.mt.gov/News/2025/November/LaurelMentalHealthFacility
October 2025
October 1, 2025 — Montana launches the HEART Reentry Program delivering pre-release Medicaid behavioral health care to incarcerated individuals.
Following federal 1115 waiver approval, Montana DPHHS and the Department of Corrections launched the HEART Reentry Program across state correctional facilities. The program provides Medicaid-covered targeted case management and mental health treatment to incarcerated individuals starting 30 days prior to their release. By establishing warm hand-offs to community-based providers, the state aims to lower post-release overdose risks and decrease recidivism.
Source: https://dphhs.mt.gov/HEART/HEARTReentry
June 2025
June 16, 2025 — Montana receives federal approval to provide Medicaid-covered housing support services for behavioral health patients.
Federal CMS approved Montana’s request to cover housing stabilization and tenancy support services under the Medicaid HEART initiative for adults with severe mental illness or substance use disorders. The program connects eligible Montanans who are homeless or at risk of homelessness with housing navigation, application assistance, and stabilization support. State health officials emphasized that stable housing is essential to long-term mental health recovery and reducing emergency department utilization.
Source: https://news.mt.gov/Governors-Office/Montana_Launches_Medicaid_Housing_Support_Services
June 3, 2025 — Montana DPHHS awards $2.5 million in grants to local and Tribal behavioral health initiatives.
DPHHS awarded Near-Term Initiative grants totaling $2.5 million to ten local government and Tribal entities, including the Chippewa Cree and Little Shell Tribes. The funds support community-designed crisis intervention, mobile crisis response units, and localized behavioral health navigation services. The awards represent part of the state’s ongoing initiative to decentralize care and build sustainable community-based mental health resources.
Source: https://dphhs.mt.gov/News/2025/June/TribalCountyBehavioralHealthGrants
May 2025
May 8, 2025 — Montana Legislature passes a landmark $123 million behavioral health funding package and crisis hold reform.
The 69th Montana Legislature passed a comprehensive $123 million behavioral health package that fully funded 10 key recommendations from the Behavioral Health System for Future Generations Commission. The package included Senate Bill 435, which modernized state laws on 72-hour mental health crisis holds to allow local medical professionals to evaluate and stabilize individuals in their home communities. This policy change helps prevent unnecessary law enforcement involvement and reduces immediate emergency transfers to the state psychiatric hospital.
Source: https://montanafreepress.org/2025/05/08/montana-legislature-passes-behavioral-health-package/
March 2025
March 24, 2025 — Montana DPHHS announces a $700,000 investment to expand family peer support services for youth mental health.
The Montana Department of Public Health and Human Services allocated $700,000 to fund six new family peer support specialist positions across four behavioral health provider organizations. These specialists work directly with caregivers of youth diagnosed with serious emotional disturbances to provide system navigation, community resources, and peer guidance. The initiative aims to reduce caregiver stress and prevent unnecessary out-of-home or out-of-state psychiatric placements.
Source: https://dphhs.mt.gov/News/2025/March/FamilyPeerSupportExpansion
This page is updated as new Montana behavioral health developments occur. Items are sourced from public primary sources — if we cannot link it, we do not post it.