Despite recent Senate passage of the Big Beautiful Bill Act, which, among other things, seeks to reduce behavioral healthcare spending, state lawmakers are expanding access to mental healthcare and investing in behavioral health workforces. [Becker's  Behavioral Health] 

Here are six state mental health policy updates to know since May 2: 

1. Iowa launched a new behavioral health system aimed at better coordinating care across a seven-region network, Iowa Public Radio reported July 2. 
2. Illinois Gov. JB Pritzker signed legislation banning step therapy and prior authorization for outpatient and partial-hospitalization mental health services. The legislation expands on a law passed in 2024 banning prior authorization for emergency mental healthcare.  Illinois lawmakers also passed a bill that would ban the use of AI chatbots for therapeutic purposes — the bill is awaiting the governor’s signature. 
3. Oregon lawmakers passed a bill that would make it easier for the state to involuntarily commit individuals deemed at risk of hurting themselves or others to psychiatric treatment. Oregon Gov. Tina Kotek is expected to sign the bill, The Oregonian reported. 
4. In June, Florida Gov. Ron DeSantis signed a pair of bills investing in mental health access in the state. The bills add funding for mental health training and workforce development programs, and create new diversion pathways for people with mental illness. 
5. Texas is set to become the first state to develop its own psychologist licensing exam as a means of developing a less expensive alternative to the national certification exam. Texas is also launching one of the largest-ever public investments in psychedelics research. Gov. Greg Abbott signed into law a bill providing up to $50 million to jumpstart clinical trials of the psychedelic ibogaine to treat mental health and addiction conditions. 
6. Washington legislators cut $74.4 million in funding for a newly constructed behavioral health facility. The lawmakers voted to fund a “warm-closure” for a 48-bed bed site, paying to maintain the building so it can eventually open in the future. 

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