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American Focus > Blog > Health and Wellness > SAMHSA cuts up to $1.9B in mental health, substance abuse grants
Health and Wellness

SAMHSA cuts up to $1.9B in mental health, substance abuse grants

Last updated: January 14, 2026 8:15 am
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SAMHSA cuts up to .9B in mental health, substance abuse grants
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The Substance Abuse and Mental Health Services Administration (SAMHSA) recently implemented significant cuts to programs within the behavioral health field, affecting numerous organizations and services. While the exact extent of the funding cuts remains uncertain, sources suggest that up to 2,800 grants could be canceled, amounting to approximately $1.9 billion—representing over a quarter of the agency’s total budget. These cuts were not communicated to SAMHSA staff beforehand and were not internally announced.

In letters sent to grantee organizations, SAMHSA explained that the cuts were made to realign spending with agency priorities. The affected programs encompass a wide range of services, including opioid treatment, addiction care for the homeless, reentry support for individuals leaving prison, and more. Despite the widespread impact of these cuts, certain programs like Certified Community Behavioral Health Centers were spared.

Under the Trump administration, SAMHSA has faced significant upheaval, with hundreds of staff layoffs and the dismantling of key teams dedicated to mental health advocacy and grant oversight. The agency terminated approximately $2 billion in grants for state behavioral health programs and overdose prevention in 2025. Notably, SAMHSA has operated without a formal leader, relying on interim appointments like addiction counselor Art Kleinschmidt, who recently departed for a position at the Department of Homeland Security. The current acting head of the agency is Chris Carroll, a longtime SAMHSA employee.

These latest cuts come at a time when Health Secretary Robert F. Kennedy Jr., who oversees SAMHSA’s parent agency, has emphasized addiction and mental health as critical issues. Despite this focus, SAMHSA has not provided a response to inquiries about the funding reductions.

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STAT’s coverage of chronic health issues is made possible by a grant from Bloomberg Philanthropies, with financial supporters playing no role in editorial decisions. The impact of these cuts on mental health and addiction treatment programs remains to be seen, as organizations grapple with reduced funding and uncertain futures.

TAGGED:1.9BAbusecutsGrantsHealthMentalSAMHSASubstance
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