In previous posts, we covered predictions on the Trump administration’s effects on the addiction treatment and recovery residence communities. Change has been moving fast as the Trump administration makes big moves in the Executive Branch and appoints cabinet members like Robert F Kennedy, Jr. to head the Department of Health and Human Services. Today, we will update our previous predictions and highlight some new issues to watch as the developments unfold.
Will the “Parity Rule” be reversed and weaken mental health and addiction treatment coverage for Americans?
This issue is very pressing for the behavioral health community and may deeply affect the bottom line at many organizations providing addiction treatment services.
In 2008, the Mental Health Parity and Addiction Equity Act was passed to ensure that health plans provide coverage for addiction treatment, just as they would for any health condition. Last year, in 2024, the “Parity Rule” was added to bolster these protections, and address the so-called “provider shortage” by requiring reimbursement rates for addiction treatment services that are on par with reimbursement rates for similar healthcare services. It also sought to limit “red tape” barriers to care, such as certain issues surrounding Prior Authorization requirements and denials.
In January 2025, an employer’s trade group brought a lawsuit challenging the “Parity Rule.” Trump has argued for less government regulation of business, and limiting healthcare regulations falls in line with that overall trend. It is possible that Trump will support the reversal of the “Parity Rule.” He may even support the repeal of the Mental Health Parity and Addiction Equity Act entirely. With the situation on the ground changing day-to-day, it is difficult to know what’s next in terms of continued protections for behavioral healthcare coverage.
Mental health parity is a pet issue of the Kennedy Forum, where RFK’s cousin, Patrick Kennedy, champions equal access to care for people with SUD. It’s possible that he may influence RFK and the Trump administration to uphold the “Parity Rule” and the Mental Health Parity and Addiction Equity Act. Time will tell.
Trump’s immigration policies likely to affect some addiction treatment providers, centers, and hospital-based programs
On his second day of office, Trump issued a statement through a DHS Spokesperson that stated his intentions to escalate the deportation of people without legal status in the US. In the past, there was a long-term policy that created “safe spaces” for undocumented people in “sensitive locations’ like schools, places of worship, religious events, and hospitals. It was typically not done to arrest people without legal status in the US in these locations. Trump’s statement changed that. Red states and blue states have responded to these instructions differently, with red states embracing the policy change and blue states largely indicating resistance to the change.
This puts healthcare providers - and addiction treatment providers, specifically - in a bind that may prove to be significant in the behavioral health industry. It is difficult to say how this play out long term, but this is an issue to watch.
The 60 day freeze on any new developments in Health and Human Services means addiction treatment providers will not feel any immediate major changes in HHS policy
Trump has placed a “60-day freeze” on all new regulations, including pending regulations, and this freeze extends to any new policies at the Department of Health and Human Services. This means that for 60 days, there will be no new regulations issued, but that at the end of 60 days, there is likely to be a wide range of regulations or rule changes issued from the administration. That date falls on March 21, 2025.
Robert F Kennedy confirmed as head of Health and Human Services - What it means for addiction treatment
With Kennedy now confirmed as the head of HHS, it’s likely he will move ahead to expand “healing camps” based on the therapeutic community model for addiction treatment seen in places like San Patrignano. Details on these healing camps are scarce, but in social media posts, Kennedy has stated that residents might be given a choice between incarceration and farm life, suggesting some element of coercion may be involved in this model of care.
If Kennedy’s “healing camps” plan moves forward, it would represent a huge shift in addiction treatment in the United States. It’s unclear if these camps would be publicly or privately owned, how many there would be, and when they might be built. It’s likely these therapeutic communities would not allow evidence-based treatments like methadone, buprenorphine, or suboxone. We’ve also seen reports that RFK’s skepticism about mental health drugs, like SSRIs and ADHD medications, may extend to bans on these treatments at the new “healing camps,” should they come to fruition.
Other blog posts on the Trump administration’s policies and plans that may affect addiction treatment providers and behavioral healthcare
Forecasting Trump's Behavioral Health Plan for Addiction Treatment Providers in 2025
2025 Federal Addiction and Mental Health Treatment Policies Under the Trump Administration Part 2
Predictions for Trump's Behavioral Health Policy for Recovery Residence Operators in 2025
Future-proof your addiction treatment business with Behave Health
Behave Health is committed to making it easier - and more profitable - to operate evidence-based, results-focused addiction treatment centers that stand the test of time.
Our all-in-one app puts clinical, administration, staff, admissions, alumni, residents, treatment plans, billing, insurance authorizations and more - all at your fingertips.
Get your free trial started today and see why more addiction treatment centers prefer Behave Health.
PS. Just getting started with behavioral health? Our Behave360 Professional Services can help with licensing, accreditation, compliance, and much more. Stop trying to reinvent the wheel and end the analysis paralysis. Our seasoned specialists handle all of the details with precision so you can focus on what’s next.