NCMHR Policy Priorities 2025
Community-based Mental Health and Substance Use Services and Supports, Including Peer Support and Employment Services:
A Smarter Investment
Funding Peer Support Services: A Critical National Workforce Solution
The Problem: Despite proven effectiveness, peer support services face chronic underfunding, inconsistent reimbursement, and lack of federal investment. Peers—individuals with lived experience—are essential in helping people enter and stay in recovery, avoid costly emergency services, and prevent institutionalization.
Federal Action Needed:
· Pass the PEER Support Act (H.R. 2741, S. 1329) to establish a federal Office of Recovery, expand the peer workforce, and strengthen peer services.
· Maintain current funding for the Consumer and Family Network Grants, Building Communities of Recovery, Recovery Community Services Program, National Consumer and Consumer Supporter Technical Assistance Centers, and Substance Use Peer Support Technical Assistance Center.
· Provide a 10% set-aside in state mental health and substance use block grants for recovery support services.
· Fund national peer training and credentialing initiatives and support reimbursement parity for peer services.
· Provide financial incentives for peer-led crisis alternatives.
· Eliminate funding for coercive programs such as Assisted Outpatient Treatment.
Building Community-based Mental Health and Substance Use Services
The Problem: The U.S. continues to rely on emergency rooms, jails, and shelters to respond to mental health and substance use crises—an approach that is costly, ineffective, and harmful.
The Solution: Invest in community-based services such as outpatient clinics, peer-led crisis response, harm reduction, and supportive housing to provide support before emergencies happen.
Federal Action Needed:
· Maintain block grant funding for community mental health ($1.01B) and substance use services ($2.01B).
· Fund expansion of mobile crisis teams and peer-led crisis alternatives with an 85% federal Medicaid match.
· Reject Medicaid work requirements for individuals with disabilities.
· Prioritize housing and wraparound supports, including permanent supportive and recovery housing.
Funding Employment Services for People with Disabilities
The Problem: People with mental health and substance use disabilities face major barriers to employment despite a strong desire to work. Without support, they are often locked out of the workforce, leading to worse health outcomes and higher public costs.
The Solution: Support employment programs such as Individual Placement and Support (IPS), recovery-ready workplaces, and peer-led workforce initiatives that connect people with meaningful jobs and reduce reliance on public systems.
Federal Action Needed:
· Fund HHS’ Supported Employment Program ($3.8M) and Substance Use Treatment, Recovery, and Workforce Support Grant Program ($12M).
· Expand Medicaid funding for supported employment and Individual Placement and Support programs.
· Expand recovery-ready workplace efforts.
· Provide transition services for young people with disabilities entering the workforce.
Bottom Line: Investing in peer support, community-based services, and employment for people with disabilitiesis essential to building a mental health and substance use system that saves lives, reduces costs, and empowers individuals. We urge Congress to act now!
See the rest of this packet for more detailed information about each priority area and the federal action needed.