California Governor Gavin Newsom announced $1.18 billion in new funding to expand mental health and substance use disorder treatment across the state.
The funding brings the total investment under Proposition 1 to more than $4 billion.
According to Newsom’s office, the expanded treatment facilities and services are expected to help more than 5 million Californians each year.
The investment is part of California’s broader effort to strengthen behavioral health services and expand access to care for people with mental illness, substance use disorders, and those experiencing homelessness.
The $1.18 billion will be distributed through the state’s Bond Behavioral Health Continuum Infrastructure Program, which supports construction and expansion projects aimed at increasing treatment capacity statewide.
The funding will support 66 projects across 130 behavioral health facilities, including residential treatment centers, crisis stabilization units, and outpatient programs.
California is distributing $1.1B+ to create 130 new behavioral health facilities across the state.
In just 2 years after voters approved Prop 1, we’ve exceeded targets with more beds and treatment, delivering on our promise to expand support for Californians. pic.twitter.com/XsB0fjxtnV
— Governor Gavin Newsom (@CAgovernor) March 11, 2026
Some projects will focus on rural and tribal communities where access to behavioral health services is limited.
What is Proposition 1?
Proposition 1 is a $6.4 billion bond measure approved by California voters in 2024 to improve the state’s behavioral health system and expand supportive housing.
The measure funds two major initiatives: the Behavioral Health Continuum Infrastructure Program and the Homekey+ program, which combine treatment services with supportive housing.
Nearly $5 billion has already been distributed to local communities to expand treatment capacity and supportive housing, Newsom’s office noted.
What Does the Funding Entail?
The funding includes $12 million to establish California’s first Tribal Peer Respite center led by the Yurok Tribe. The facility will provide peer-led support for people experiencing behavioral health crises.
Other projects include $4.4 million to create Glenn County’s first residential substance use disorder treatment facility and $27 million for a residential treatment program in the San Joaquin Valley.
Another $24 million will support a 105-bed treatment center in Ontario. Funding was also directed to smaller counties, including Del Norte, Inyo, Siskiyou, Trinity, and Yuba, to expand local behavioral health services.
According to the governor’s office, the initiative has surpassed its original capacity targets, creating 6,919 residential treatment beds and 27,561 outpatient treatment slots.
The original statewide goal was 6,800 residential beds and 26,700 outpatient treatment slots. In total, the program has supported 177 projects across 333 facilities, reaching those targets within two years of voter approval.
Just two years after voters approved Prop. 1, California has exceeded our goal of 6,800 new behavioral health treatment beds.
In 1957, California had 37,000 psychiatric beds with half today’s population. That number fell to 5,500 at its lowest, leaving communities without care.… pic.twitter.com/jrR9nmsVZh
— Governor Newsom Press Office (@GovPressOffice) March 11, 2026
The investments are part of California’s broader “Mental Health for All” strategy, which links expanded behavioral health treatment with efforts to address homelessness.
Since 2021 the Behavioral Health Continuum Infrastructure Program has awarded $5.8 billion for 437 projects across 546 behavioral health facilities, the governor’s office stated.
Across the state, we’re creating 9,553 new beds and 47,163 outpatient slots to serve 5.4M+ Californians each year with strengthened community-based care. pic.twitter.com/9Hj6dikJ0I
— Governor Gavin Newsom (@CAgovernor) March 11, 2026
Once completed, those projects are expected to create 9,553 treatment beds and more than 47,000 outpatient treatment slots, serving about 5.4 million people annually.