Psychiatric and Substance Abuse Hospitals NAICS 622210

Feb 4, 2026 - Some States Expand ACA Subsidies

• Six states have taken measures to offset the cost of Affordable Care Act (ACA) plans after a lapse in federal funding left millions of Americans facing higher premiums, according to Healthinsurance.org. Insurance coverage is a key determinant in accessing mental health services, according to health policy research firm KFF. California, Colorado, Connecticut, Maryland, Massachusetts, and New Mexico have increased their state-funded ACA subsidies for 2026 in response to the expiration of federal tax credits at the end of 2025. The states "modified or enhanced their programs directly to address the reduction in federal premium subsidies," said Louise Norris, a health policy analyst for Healthinsurance. Nonprofit health group KFF reports that several states, especially those operating what are known as State-Based Marketplaces, have been preparing for the lapse of ACA tax credits for months. New Mexico, for example, will fully offset the loss of the federal tax credits for all residents, including recent immigrants. Ten states offer ACA subsidies but only six have increased them since federal subsidies lapsed.
• All 50 states and the District of Columbia have seen fentanyl-related drug deaths decrease to levels not seen since 2020, according to an analysis of US overdose data conducted by researchers at the University of North Carolina at Chapel Hill. Demand for substance abuse treatment may decrease if the decrease in fentanyl-related drug deaths is due at least in part to a decrease in fentanyl use. "We are on track to return to levels of [fatal] overdose before fentanyl emerged," said Nabarun Dasgupta, lead researcher on the project which examined overdose records from the Centers for Disease Control and Prevention. Drug deaths in the US are down roughly a quarter, according to provisional Centers for Disease Control data. That includes fentanyl and other illicit drugs like cocaine and methamphetamine.

• A study published in BMJ Global Health found that community-based mental healthcare (CMH) outperforms institutionalized treatment in addressing severe mental illness. Study participants who received CMH had significantly lower disability than those who had received treatment as usual at an 18-month follow-up. The researchers also reported that CMH produced a 6.4% higher treatment response rate than standard institutional care.
• Psychiatric and substance abuse hospitals increased prices 5.33%% year over year in September, according to the US Bureau of Labor Statistics (BLS). Psychiatric and substance abuse hospital industry employment decreased slightly and average wages for nonsupervisory employees increased slightly during the first 11 months of 2025, according to the BLS. Psychiatric and substance abuse hospital sales are forecast to grow at a 6.94% compounded annual rate from 2025 to 2029, faster than the growth of the overall economy, according to Inforum and the Interindustry Economic Research Fund, Inc.