This story was originally produced by the Concord Monitor. NHPR is republishing it in partnership with the Granite State News Collaborative.
In another perceived setback to New Hampshire’s mental health system, the state budget calls for the sale of the Philbrook Adult Transitional Housing Facility in Concord within two years.
The 16-bed step-down residence located less than half a mile from New Hampshire Hospital, the state’s inpatient psychiatric facility, plays a crucial role in helping individuals reintegrate into the community after an involuntary emergency admission due to a mental health crisis.
Luke Reynard, executive director of NFI North, the nonprofit that runs Philbrook, said that although the program isn’t shutting down and residents won’t be left without housing, the sale still poses serious challenges.
“Moving is hard on everybody and especially while you are trying to go through active treatment, get better and work on independent living skills,” said Reynard. “We were hoping we had a little bit more time, especially in hard economic times. So, of course, we're disappointed.”
He said the silver lining is that the New Hampshire Department of Health and Human Services plans to work with the nonprofit on a transitional plan, offering a small measure of reassurance amid the uncertainty.
NFI North provides transitional housing in exchange for a rent-free lease at the state-owned building on South Fruit Street. Before NFI North took over Philbrook in February 2024, the property was operated by the state.
As part of the budget plan, the state will first offer the property to the City of Concord and then to Merrimack County.
If neither party agrees to buy it by January 1, 2026, the Department of Administrative Services will put the property up for sale on the open market at a price no less than its fair market value. The sale has to be wrapped up by June 30, 2027, as stipulated in the state budget.
Proceeds from the sale will be funneled into the state’s general fund.
Sixteen-bed facilities like Philbrook are rare, said Susan Stearns, executive director of the National Alliance on Mental Illness New Hampshire. Finding a replacement facility that can accommodate all of Philbrook’s residents during its forced move poses an additional challenge.
“In this real estate market the question I have is, what’s the likelihood that we’ll be able to find one facility that’s large enough? So then, are we increasing the costs to the system? Because will they need, then, say, two eight-bed facilities, which would require probably twice as many staff, or certainly more staff?” said Stearns.
Reynard explained that once a new building is secured, significant investment will be required to install safety measures such as fire alarms, to complete renovations to meet residents’ specific needs and to obtain planning and zoning approvals.
The state budget also included a “back of the budget” cut requiring DHHS to reduce spending by $51 million, which could force commissioners to scale back programs and potentially eliminate positions.
Mental health advocates expressed concern that this cut could impact mental health services.
Stearns described the cut as “one of the largest most folks can remember.”
Adding to the strain on the state’s mental health system, last week Riverbend Community Mental Health announced it would close one of its transitional adult housing facilities in Concord due to inadequate state funding.
This closure removes 10 much-needed beds, further pressuring an already stretched system.
Considering this year’s legislative session and its impact on the state’s mental health system, Reynard said that while the situation was troubling, he felt relieved it wasn’t more damaging.
“It could have been much worse,” he said. “Just because funding disappears doesn’t mean the need goes away.”
Sruthi Gopalakrishnan can be reached at sgopalakrishnan@cmonitor.com
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