Press Release

FOR IMMEDIATE RELEASE: Dec. 30, 2025

CONTACT: Lynn Sutfin, 517-241-2112, Sutfinl1@michigan.gov   

Michigan awarded more than $173 million in
federal funding to strengthen rural health
Funding comes from Rural Health Transformation Program

LANSING, Mich. – This week, the Michigan Department of Health and Human Services (MDHHS) was awarded $173,128,201 for FY 2026 by the Centers for Medicare & Medicaid Services under the Rural Health Transformation Program.

“Today’s investment will support access to health care for rural communities across Michigan as we deal with funding shortfalls caused by federal Medicaid cuts,” said Gov. Gretchen Whitmer. “This $173 million grant will help us connect more Michiganders to the care they need and provide essential wraparound supports. In Michigan, we have successfully worked together to protect quality, affordable health care, and we will continue finding ways to secure more federal funds, expand coverage and lower costs.”

The Rural Health Transformation Program is a $50 billion national commitment to improve the health and well-being of rural communities across the country. With this funding, states will implement comprehensive strategies to improve care delivery, support providers and advance new approaches to coordinating health care services across rural communities. Funding will be allocated over five years, with $10 billion available each year from 2026 through 2030.

“Michigan continues to support a resilient and innovative rural health system where every resident has access to high-quality care close to home,” said Elizabeth Hertel, Michigan Department of Health and Human Services director. “Our approved proposal for these federal funds focuses on enhancing the long-term sustainability of rural providers while supporting their growth and continued service to their communities.”

Before submitting its application, MDHHS hosted an online survey and two listening sessions to gather input on how the funding could help increase and improve sustainability for rural providers.

Based on this feedback, MDHHS requested funding to:

• Support the development and strengthening of regional partnerships among rural hospitals, clinics and community organizations to improve care coordination, align service delivery, expand access points and promote financially sustainable care models.

• Recruit and retain rural health professionals, behavioral health providers and community health workers. Funds will also promote prevention and chronic disease management training and integrated behavioral health care access.

• Implement technology tools and advance rural interoperability, including establishing a rural technology catalyst fund to support expanding data exchange and increasing adoption of telehealth, remote patient monitoring and technology-driven care coordination tools.

• Establish digital referral networks that connect residents to local care, prevention and wellness resources needed to live healthy lives.

For more information about Michigan’s plan for the funding, visit the MDHHS Rural Health Transformation Program website. Additional information about the federal Rural Health Transformation Program is available at Rural Health Transformation Program | CMS.

Press Release

FOR IMMEDIATE RELEASE: Dec. 29, 2025

CONTACT: Lynn Sutfin, 517-241-2112, Sutfinl1@michigan.gov

MDHHS seeks proposals to improve health care
services for individuals with sickle cell disease

LANSING, Mich. – The Michigan Department of Health and Human Services (MDHHS) has issued a competitive Grant Funding Opportunity (GFO) to improve clinical services for Michigan residents who have been diagnosed with sickle cell disease.

The grant program is designed to assist providers in expanding or strengthening the services they offer to patients. Funding will prioritize projects that improve access to high-quality, integrated health care; increase the use of disease-modifying therapies; and enhance acute care services for individuals diagnosed with sickle cell disease.

This opportunity is open to 501(c)(3) nonprofits, private and public entities and universities that are:

• An existing hematology or hematology/oncology clinic working under a Michigan hospital or medical school or an emergency department at a Michigan hospital.
• Enrolled as a Michigan Medicaid provider.
• Comply with Michigan Medicaid policies.
• Accept all Medicaid, MI Child, Healthy Michigan Plan and Children’s Special Health Care Services beneficiaries.

The maximum total award for the grant period, April 1, 2026, through Sept. 30, 2026, is $80,000 per applicant. A total of approximately $400,000 in funding is available, and MDHHS anticipates issuing up to five awards. Continuation awards are available for successful applicants.

Grant applications must be submitted electronically through the EGrAMS program by 3 p.m., Tuesday, Jan. 27.

A pre-application conference will be held to discuss this funding opportunity and provide instructions on using the EGrAMS system at 1 p.m., Tuesday, Jan. 6. It will last approximately 90 minutes and can be accessed at https://bit.ly/48TceCT.

For more information or to apply, visit the EGrAMS website and select the “About EGrAMS” link in the left panel to access the “Competitive Application Instructions” training manual. The complete GFO can be accessed under the ‘Current Grants section under the “Public Health Administration” link and selecting the “SKLCE-2026” grant program.

Press Release

FOR IMMEDIATE RELEASE: Dec. 8, 2025

CONTACT: Lynn Sutfin, 517-241-2112, Sutfinl1@michigan.gov   

MDHHS to invest $37.5 million in opioid settlement
funds to further expand recovery housing across Michigan
More than 200 new recovery beds created in past two years

LANSING, Mich. – As part of a statewide strategy designed to save lives and reduce overdose deaths, the Michigan Department of Health and Human Services (MDHHS) plans to invest $37.5 million into stable housing to help Michigan residents recover from substance use disorder (SUD). This funding is part of the FY 2026 state budget that includes $131.75 million for SUD prevention, harm reduction, treatment and recovery services.

“Ensuring someone has a safe place to live is one of the most powerful resources we can provide to prevent setbacks in recovery,” said Elizabeth Hertel, MDHHS director. “These investments provide people in recovery with the security, structure and dignity they need to thrive. By directing opioid settlement funds to stable housing, we are creating meaningful, lasting change in communities across the state.”

A recent analysis by MDHHS found that more than 7,500 discharges from publicly funded SUD treatment annually resulted in people leaving treatment without stable housing. To address this gap, the department has set a goal to create 3,467 new recovery housing beds by 2028, an increase of 40%.

Michigan is slated to receive more than $1.8 billion from national opioid settlements by 2040, with half being distributed to the State of Michigan Opioid Healing and Recovery Fund and the other half being distributed directly to county, city and township governments. Over the last several years, MDHHS has distributed settlement funds in support of the state strategy addressing prevention, harm reduction, treatment and recovery. This allowed the state to expand recovery housing by more than 200 beds in the last two years through $8 million in investments.

“We know that the transition out of treatment is one of the most critical times for individuals with substance use disorder,” said Dr. Natasha Bagdasarian, chief medical executive and Michigan Opioids Task Force co-chair. “It’s a time when individuals face an increased risk of returning to substance use. Without safe and stable housing, the risk of overdose increases dramatically. Recovery housing is a medically informed, evidence-based solution that offers individuals the stability and support needed to maintain their recovery and rebuild their lives.”

According to a Michigan Association of Recovery Residences (MARR) survey, recovery housing assists individuals in successfully obtaining and maintaining employment. Upon entering a MARR-certified recovery house, about 17% of individuals indicated needing employment assistance. This statistic decreases during their stay to about 8% at the 90-day mark.

Recent recovery housing investments include:

• $1.5 million to support a new recovery housing project by Wellspring in Southfield in partnership with the Michigan State Housing Development Authority and Oakland County government. Construction will soon begin on 60 new recovery housing units.

• $3 million for The McDaniel Apartments at Andy’s Place in Jackson, 26 affordable apartments and vital recovery services designed to serve expectant families overcoming opioid addiction.

•  $3.8 million through the Recovery Housing Investment Program to purchase or lease homes across the state dedicated to supporting individuals in recovery, adding more than 110 new beds to the state’s total capacity.

“This is a matter of both equity and urgency,” said MDHHS senior advisor Tommy Stallworth. “Black and low-income communities are disproportionately impacted by housing instability and the heightened risk of overdose. Our investment in recovery housing reflects a strategic, data-informed commitment to ensuring every Michigan resident has a real opportunity for sustained recovery. Additionally, these projects demonstrate how state and local governments can work together to advance Governor Whitmer’s goal of expanding access to affordable housing.”

Recovery housing initiatives are supported by ongoing collaboration with local governments, community-based organizations and peer-led programs, ensuring that the needs of individuals in recovery are met with compassion, evidence-based practices and strong local partnerships.

For more information about SUD resources, visit Michigan.gov/SUD.

Additional information regarding proposed programming under Michigan’s Opioid Healing and Recovery Fund is provided on the opioids settlement website.

Press Release

FOR IMMEDIATE RELEASE: Nov. 25, 2025

CONTACT: Laina Stebbins, 517-241-2112, StebbinsL@michigan.gov