January 6, 2026
OMH Funding Opportunity: Housing First Scattered Site Supportive Housing – Western New York and Long Island
The New York State Office of Mental Health has announced the release of a request for proposals for developing and operating two Housing First Supportive Housing programs serving individuals currently experiencing homelessness, to be located in the Western New York and Long Island Region.
Individuals who may be residing in a shelter, on the streets or somewhere not meant for human habitation are eligible. Mental health or other diagnostic criteria are not required.
The full RFP can be found on the OMH website: https://omh.ny.gov/omhweb/rfp/2026/housing-first-sssh/index.html.
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OMH Funding Opportunity: Capital for Expanding Inpatient Psychiatric Capacity, Round 2
The New York State Office of Mental Health has issued a request for proposals to expand access to inpatient psychiatric services throughout New York State by developing child, adolescent, and adult inpatient psychiatric units, including specialty units to treat individuals dually diagnosed with mental health disorders and intellectual/developmental disabilities.
The RFP can be found on the OMH website at: https://omh.ny.gov/omhweb/rfp/2026/ceipc/index.html
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This new development could have an impact on the SFY27 executive budget proposals due out on 1/20/26, and also subsequent budget wrangling throughout the legislative session. All of it begins in earnest tomorrow (1/7/26) with the first day of the new session. Just a reminder that the State of the State is scheduled for 1/13/26.
Summary: (Article from NY Times linked below):
The MN fraud scandal in which some providers are accused of stealing billions from public services in MN is having broader fallout. Not only did the current governor drop out of his reelection race (Walz, former candidate for VP under Kamala Harris), but now the Trump Administration is using the fraud scandal to beat up on other blue states.
HHS is planning to freeze $10 billion in funding to 5 Democratically controlled states: CA, CO, IL, MN, and NY potentially causing huge harm to childcare, housing. and other programs that serve low-income households, claiming there is widespread fraud and abuse in these states despite no clear evidence.
These states will be cut off from around $7 billion in funding for the Temporary Assistance for Needy Families (TANF) program, which provides cash assistance to households with children, according to two people familiar with the matter. The five states will also lose access to nearly $2.4 billion for the Child Care Development Fund, which supports child care for working parents, and around $870 million for social services grants that mostly benefit children at risk.
Health Dept. to Freeze $10 Billion in Funding to 5 Democratic States
The funding pause could jeopardize child care and other programs that serve hundreds of thousands of households in California, Colorado, Illinois, Minnesota and New York.
https://www.nytimes.com/2026/01/06/us/politics/child-care-funding-cuts-trump.html?unlocked_article_code=1.CVA.ehHD.urHedualgChJ&smid=url-share
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Medicaid Work Requirement Rules Will Test States, Who Await CMS Guidance, Modern Healthcare, 1/6/25
https://www.modernhealthcare.com/politics-regulation/mh-medicaid-work-requirements-cms-guidance/?utm_id=gfta-ur-260106&share-code=USWLQJAXX5AN5HTPOJGOCTJLQA&user_id=5621336&customer_secondary_source=aac_articleGifting
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We were gratified to read the statement (below) from a spokesperson for Governor Hochul that reflects the Governor’s understanding that health plans here in NYS care about profits over people, and protecting their own bottom line.
What we need to do is turn that recognition into policy reform, beginning with the inclusion of language in the Governor’s upcoming executive budget proposal that would carve out most behavioral health services from the state’s Medicaid managed care program. Let’s get it done!
Insurance industry warns new health mandates will increase premiums
Amanda D’Ambrosio, Crain’s Health Pulse, 1/6/26
The state implemented three new laws requiring insurance companies to cover treatments such as EpiPens and supplemental breast cancer screenings – rules that aim to reduce skyrocketing health care costs but that insurers say will drive up premiums.
The laws, which went into effect Jan. 1, require insurance companies to cover three additional treatments: EpiPens, additional breast cancer screening and imaging and a therapy to reduce hair loss after chemotherapy known as scalp cooling. The mandates, which apply only to fully-insured plans, aim to reduce out-of-pocket costs for cancer patients and people with serious allergies as state officials seek to mitigate rising health care costs.
Though the new policies seek to make healthcare more affordable, the insurance industry and some policy experts say they could have the opposite effect. The state requires that insurers cover at least 70 different procedures and treatments – a slate of policies that cumulatively drives up individuals’ premium costs by roughly 15%, said Lev Ginsburg, executive director of the New York State Conference of Blue Cross and Blue Shield Plans, which lobbies on behalf of insurance companies.
“New Yorkers are facing a health care affordability crisis,” Ginsburg said. “Every time the legislature passes a mandate, every time the governor signs them, premiums increase.”
Gov. Kathy Hochul said in a statement that she implemented the new laws so that New Yorkers do not have to choose “between putting food on the table or being able to afford life-saving medical devices and procedures.”
Kristin Devoe, a spokeswoman for the governor, did not respond to a question about how the laws could affect premiums but said the state seeks to make treatments more affordable.
“While these insurance companies continue to put profits over people and fight to protect their own bottom line, Gov. Hochul will continue to ensure cancer patients have access to screening and treatments they need and vulnerable New Yorkers never have to go without tools that could save their lives,” Devoe said.
The laws add new requirements for health plans. The legislation requiring coverage of EpiPens mandates that insurers cap patients’ out-of-pocket costs at $100 per year, reducing expenses for individuals who rely on the medication for severe allergic reactions. A two-pack of EpiPens can cost approximately $600, according to the governor’s office.
Insurers are also newly required to provide coverage for scalp cooling, a treatment used during and after chemotherapy to reduce hair loss. Without insurance, scalp cooling can cost between $1,500 and $3,000, according to the National Cancer Institute.
Under the new law, New York insurers are also required to expand coverage for breast cancer screening and imaging. Though federal law requires coverage for preventive care like annual mammograms, some supplemental screenings for patients with higher breast cancer risks are not fully covered. The state’s new law requires coverage of mammograms, ultrasounds and MRIs when a physician deems them medically necessary.
New York has some of the highest insurance costs in the country. The average annual premium for a family with employer-sponsored health coverage surpassed $27,000 in 2024 – 11% higher than the national average, according to an analysis of federal data by the Empire Center for Public Policy, a fiscally conservative think tank based in Albany.
Premium costs are more expensive in New York for many reasons, including high hospital costs and extensive taxes on insurance companies, said Bill Hammond, senior fellow for health policy at the Empire Center for Public Policy. But mandated coverage for specific treatments “unquestionably” adds to the premium bottom line, despite policymakers’ promises that they will make care more affordable, he said.
“This is exactly the opposite of what the state and the governor should be doing if they are concerned about affordability,” Hammond said.
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January 6, 2026
Peer Recovery Support Services in Substance Use Treatment: Evidence Roundup
Expanding peer recovery services is a proven strategy to address the overdose and mental health crises in the United States. Peer support workers — often called peer recovery coaches, peer mentors, or peer specialists — are non-clinical professionals who use their lived experience with substance use disorder and/or overdose to connect with and support others. Evidence shows peer support increases treatment engagement, reduces hospitalizations, and improves recovery outcomes. While most state Medicaid programs reimburse for these services, more can be done to fully integrate and sustain peer roles in care delivery.
This Evidence Roundup highlights studies on the impact of peer support and offers recommendations for embedding and supporting peer workers across care settings — from emergency departments to community programs. It examines how these services work in practice, cites common challenges along with strategies to support peer services, and provides insights to inform future interventions and staffing models to support people with substance use disorder.