New research finds direct federal funding to programs more effective than state-run programs for addiction treatment

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New research suggests federal funding for addiction treatment reaches more patients when it goes directly to local providers rather than through state agencies.

The report, published in the journal Implementation Science, examined how the federal government expanded use of a leading treatment for youth substance use disorders, the Adolescent Community Reinforcement Approach, or A-CRA. The program, developed at Chestnut Health Systems, is a 12- to 14-week treatment that combines skills training, family involvement and community activities to help young people replace substance use with healthier behaviors.

Researchers found that clinics receiving direct federal grants were significantly more successful in implementing the program. On average, 72% of counselors and supervisors in those organizations became fully certified to deliver A-CRA. By comparison, just 36% reached certification when funding was distributed through state agencies.

The study, led by Alex R. Dopp of the RAND Corporation, analyzed data from 164 treatment organizations across 35 states and included interviews with nearly 250 providers and 32 state administrators.

Researchers found that clinics receiving direct funding were more likely to plan strategically, gain leadership support and quickly train staff. In contrast, providers working under state-managed funding reported delays, bureaucratic challenges and difficulty getting resources to the front lines.

Despite those differences, certified providers in both groups delivered the treatment effectively once it was in place.

The findings come as millions of young Americans struggle with substance use disorders. Researchers say an estimated 10 million people ages 12 to 25 are affected, yet only a small percentage receive treatment.

Researchers say the results highlight the importance of how funding is structured, not just how much is spent. Direct-to-provider funding led to faster and broader adoption of evidence-based care during the critical rollout phase.

The authors note that state-managed funding may still play a role in building long-term infrastructure, which was not measured in the study. However, they say direct funding appears more effective at ensuring proven treatments reach patients in the short term.

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