Montana is putting $1.2 million toward expanding psychiatric residential treatment for young people with serious emotional needs.

According to a state press release, the money was split between Shodair Children’s Hospital and Yellowstone Boys and Girls Ranch, with each getting $618,500 through two-year grants to add in-state bed capacity.

Gov. Greg Gianforte said the goal was to help more children get care closer to home instead of leaving Montana for treatment.

The release said the grants were part of a broader $123 million behavioral health package approved by the 2025 Legislature. It also said the package paid for 10 recommendations from the Behavioral Health System for Future Generations Commission.

DPHHS reported a 41 percent increase in the number of children treated in Montana through psychiatric residential treatment facilities in 2025. The department said that followed an effort that added or reopened 52 beds.

The release also said 194 Montana youth went out of state for this level of treatment in 2025. State leaders said the added capacity is meant to keep more of those children in Montana.

The state said the funding could go toward construction, facility upgrades, staff hiring and training and efforts to involve families. Officials also tied the expansion to the larger behavioral health changes created under House Bill 872.

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