Recovery-Focused Clubhouse Grant Program

The Texas Health and Human Services Commission (HHSC) is offering funding through the Recovery-Focused Clubhouse Grant Program to support the expansion of recovery-oriented mental health services across specific regions of Texas. HHSC, the state agency responsible for health and human services programs, administers this opportunity under statutory authority granted by Texas law and supported in part by federal mental health block grant funding. The program reflects Texas’s continued investment in strengthening behavioral health systems and improving outcomes for individuals living with serious mental illness. The primary purpose of this grant is to expand and sustain Recovery-Focused Clubhouses that operate in alignment with Clubhouse International standards. The Clubhouse Model is an evidence-based, SAMHSA-recognized approach that emphasizes peer support, community integration, and meaningful engagement in daily activities. These programs are designed to help individuals rebuild confidence, develop employment and educational skills, and foster long-term recovery through structured participation in a supportive environment. HHSC seeks to fund organizations that can demonstrate fidelity to this model while expanding access to services in underserved regions. Funding is structured as a cost-reimbursement grant, meaning awarded organizations must initially cover expenses and seek reimbursement for allowable costs. The total available funding is approximately $2.48 million over the full grant term, with an estimated $620,000 available per state fiscal year. HHSC anticipates making two awards, each with a maximum of $310,000 per year. A significant requirement of this opportunity is a 25 percent cost-sharing obligation, which must be met through non-state and non-federal contributions. These contributions may include cash or in-kind resources, provided they meet strict verification and allowability criteria. Eligible applicants must be legally authorized entities operating in Texas, specifically within Public Health Regions 2 and 4. Organizations must already operate or be capable of operating a developed Clubhouse program that meets specific operational requirements, including having a physical location, a governing board, and a minimum of three years of Clubhouse experience. Applicants must also demonstrate the ability to provide a range of services, including employment support, housing assistance, access to healthcare services, and community integration activities. The program targets adults aged 18 and older who are living with mental health challenges and seeking recovery-based support. The application process requires submission through the HHSC Grants Management System External Portal, which is the only accepted submission method. Applicants must complete a comprehensive application package that includes administrative forms, a detailed narrative proposal, a budget, and multiple required exhibits and certifications. The narrative must describe the proposed project, organizational capacity, community needs, and implementation strategy. Applications are subject to a multi-stage review process, including compliance screening, scoring based on evaluation criteria, and final selection based on state priorities and geographic considerations. Applications must be submitted by May 29, 2026, at 10:30 AM Central Time. Prior to submission, applicants may participate in an optional conference and submit written questions by specified deadlines. HHSC will review applications and anticipates issuing award notifications in September 2026, with project activities beginning in October 2026. The project period is expected to run through August 31, 2030, with the possibility of a one-year extension. Throughout the grant term, grantees will be required to submit monthly, quarterly, and annual reports documenting expenditures, performance metrics, and program outcomes. HHSC evaluates applications based on community need, organizational experience, project execution, and cost effectiveness. Selected applicants may undergo a negotiation phase before final award. Performance monitoring will continue throughout the grant term, with an emphasis on measurable outcomes such as employment placement, educational engagement, and member participation. This program represents a strategic effort by Texas to expand evidence-based mental health services and improve recovery outcomes for individuals across targeted regions of the state.

Align proposal with evaluation criteria including community need, execution strategy, and cost effectiveness; demonstrate fidelity to Clubhouse International standards; clearly justify budget and cost sharing; highlight measurable outcomes and prior experience