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Abbott, HHSC Announce $239M in Construction Grants

Texas Gov. Abbott and HHSC are allocating $239 million in construction grants to enhance inpatient mental health care in rural areas. The funding will add up to 332 beds across four communities, fostering easier access to critical resources and support services for patients with acute psychiatric illnesses.

March 31, 2025 - West Edition #7
Office of Texas Gov. Greg Abbott

Texas Gov. Greg Abbott announced that the Texas Health and Human Services Commission is awarding $239 million in construction grants to expand and improve access to inpatient mental health care in rural Texas.
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Texas Gov. Greg Abbott announced that the Texas Health and Human Services Commission is awarding $239 million in construction grants to expand and improve access to inpatient mental health care in rural Texas.

Texas Gov. Greg Abbott announced on March 20, 2025, that the Texas Health and Human Services Commission is awarding $239 million in construction grants to expand and improve access to inpatient mental health care in rural Texas.

The grants will help rural communities treat and stabilize patients with acute psychiatric illnesses without the need to travel to a major city.

"The state of Texas continues working to expand access to critical mental health resources to ensure Texans get the support they need, no matter where they live," Abbott said. "With this $239 million investment, Texas will expand inpatient mental health services so rural communities and local governments will be able to treat patients with acute psychiatric illnesses closer to home. I thank members of the Texas Legislature and the Texas Health and Human Services Commission for their ongoing work increasing access to mental health care across our great state."

"HHSC is committed to working with the Legislature to increase options for accessing quality behavioral health resources," said Deputy Executive Commissioner for the HHSC Health and Specialty Care System Scott Schalchlin. "The program supports hospitals and local governments that understand the needs of their communities, enabling more people to receive support right where they live."

The funding will support up to 332 beds for mental health patients in hospitals across four communities. HHSC awarded:

• $85 million for up to 100 beds at DHR Health in Edinburg.

• $64 million for repairs, renovation, and construction to add 72 beds at Baptist Hospitals of Southeast Texas in Beaumont.

• $50 million to expand the existing Montgomery County Mental Health Treatment Facility in Conroe by up to 100 beds.

• $40 million for a new facility in Victoria County with up to 60 beds.

Abbott and the 88th Texas Legislature approved funding to construct or expand four mental health facilities to have at least 50 percent capacity for forensic patients ordered to a state hospital for competency restoration.

Forensic patients are those who are admitted to a state hospital through the criminal justice system, and competency restoration is a process for restoring a person's ability to stand trial.

The executed grant contracts are in various phases of design and document development.

For more information, visit hhs.texas.gov/business/grants. 


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