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Friday, October 9, 2026 · Updated 6:09 AM MT · 26 stories today
Fri, Oct 9 · 26 stories todayPRO
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State Policy · NJOctober 9, 2026

New Jersey Funds Nonprofits to Integrate Mental, Physical Care

New Jersey's Department of Human Services awarded contracts to two nonprofit community health systems, about $391,000 to St. James Health in Newark and nearly $275,000 to Zufall Health, to expand integrated behavioral and physical health care at a single location. Funding comes from federal opioid-focused dollars and flows through a program letting federally funded primary care clinics add behavioral health screening and addiction treatment without extra licensing. The awards follow a spring 2026 state regulatory change, effective in April, that created a single license for facilities offering both behavioral and physical health services, replacing a previously fragmented three-process, two-agency licensing system. Zufall has received the state's first integrated care license under the new rules, with roughly 20 more applications pending, reflecting growing provider interest in co-locating services for low-income patients with mental health, substance use, and chronic physical conditions.

Why it mattersThe streamlined licensing framework lowers regulatory barriers for smaller safety-net providers to offer co-located behavioral and physical health services, expanding access points for Medicaid-covered patients with complex, co-occurring conditions.

Behavioral Health · Finance

Read the full article at newjerseymonitor.com →
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