As Texas lawmakers gear up for the 2025 legislative session, mental health advocates are highlighting urgent funding needs to replace the expired federal pandemic relief funding that has supported critical community mental health programs. With a significant surplus projected at $20 billion, lawmakers face a challenging landscape of competing priorities, including private school vouchers and campus security.
The expiration of federal COVID-19 relief dollars on December 31 has left a funding gap for numerous mental health programs that aim to alleviate the impact of the provider workforce shortage in Texas. According to Texas Comptroller Glenn Hegar, this funding shortfall could hinder the efforts made by various local organizations that relied on these grants for essential services.
Alison Mohr Boleware, policy director for the Hogg Foundation for Mental Health, noted that ‘there is not a formal funding option to replace the American Rescue Plan Act.’ This raises concerns among stakeholders about the potential ramifications on community mental health initiatives.
Past funding played a vital role in supporting telepsychiatry programs in schools and libraries, as well as peer-to-peer services that allowed communities to practice mental wellness. These programs have been instrumental in addressing long waitlists for mental health services across the state.
Legislative Priorities for 2025
Ahead of the upcoming session, lawmakers have filed numerous bills aimed at enhancing mental health services. Significant measures include:
Addressing Provider Shortages
Texas is grappling with severe shortages of mental health professionals, particularly in rural and frontier areas. Senate Bill 469 proposes allowing social workers with master’s degrees, who are awaiting clinical licenses, to treat Medicaid patients. This could potentially add more than 1,500 licensed social workers to the system.
Funding the 988 Suicide Hotline
The 988 suicide hotline is currently facing a funding deficit of several million dollars. Senate Bill 188 aims to establish a trust fund to ensure the hotline’s financial viability, as it connects callers with crisis counselors across Texas.
Mental Health in Schools
Lawmakers are also focusing on mental health services in schools. Recent statistics show that chronic absenteeism rates have risen significantly, with one in five students considered chronically absent. Policies are being proposed to enhance school-based behavioral health services to combat these trends.
The efforts to support youth mental health have sparked ongoing discussions about the role of commercial insurance in backing these initiatives. As mental health advocacy continues to gain momentum, representatives stress the need for a comprehensive approach that includes community support and legislative action.
As the Texas Legislature prepares to convene on January 14, the foundation is being laid for crucial decisions that could shape the future of mental health services across the state.

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