Idaho Medicaid Cuts Disrupt Mental Health Care

Mental health treatment facilities in Idaho report that stabilizing severely mentally ill patients has become more difficult after the state reduced Medicaid funding for behavioral health programs, affecting access to mental health treatment facilities statewide.

One affected program is Assertive Community Treatment (ACT), a long-standing community-based model used to treat major depression, schizophrenia and other serious mental illnesses when other interventions failed.

Medicaid Cuts Reduce ACT Behavioral Treatment

In December 2025, Idaho officials eliminated many ACT features as part of statewide Medicaid reimbursement cuts, leaving many to depend on insurance companies and other funds to cover their care.

Funding that had allowed providers to meet clients in their homes and communities is no longer available.

Another chopped feature of ACT included nurses who delivered medical care alongside behavioral health workers in the community. Medicaid no longer reimburses providers for these nurses. 

Sara Bennet, a Lewiston practitioner previously contracted to manage the regional ACT program, said the cuts left many clients struggling.

She noted at least two patients who are weeks behind on critical anti-psychotic medications. “We spent a year and a half stabilizing them, and now they’re both very much unstable and their symptoms are very significant.”

Another former patient ended up in the hospital after the funding ended.

Before the cuts, the courts referred selected county jail inmates to her for care, but now those referrals have stopped.

Bennet said that about a third of her former patients have lost access to any services while “another third, it’s really inconsistent, not nearly as regular as it had been.”

Reduced Behavioral Health Services Increase Costs

The cuts don’t just impact Medicaid recipients. Estimates from the Idaho Association of Community Providers suggested reduced care could cost local tax payers more than $150 million. 

Ric Boyce, co-director of Idaho Association of Community Providers reported, “For local taxpayers footing the bill for increased emergency care, we are looking (at) between $200 and $800 per person, per year.”

He explained, “Normally, we would’ve had multiple team members with eyes on that person.”

Nurses, doctors, counselors and case workers collaborated to intervene and motivate reluctant clients to commit to their medical care.

Now, with fewer personnel and truncated programs, these individuals have fewer medical safety nets. When emergencies hit, taxpayers ultimately pay.

What Patients Can Do Now

Both Bennett and Boyce are now speaking with legislators in an effort to restore essential funding for ACT and supplemental behavioral health programs as quickly as possible.

For those who have felt the impact of reduced behavioral health programs, there are steps you can take on your own. Search for treatment centers nearby or call 800-908-4823 (Sponsored) .

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Elizabeth Austen

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Elizabeth Austen has a background in psychology, brand strategy, and the digital realm. She supports nonprofits and behavioral health agencies through thoughtful design, compelling copy, and data-informed marketing. Beth is passionate about her work and loves to help people succeed.

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Eric Owens

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Eric Owens has been a writer and editor for various businesses as well as his own successful websites. He has extensive experience creating content in the health and wellness space and the sustainability space. He holds a bachelor degree in Philosophy which helped him with presenting complex information in a simple way that all audiences can understand.