News Release: MN Legislature Preserves IPS Funding
Jul 29, 2025
State Legislature Continues Mental Health Employment Services
$8+ Million in Funding for IPS Preserves Employment Services for 1100 Minnesotans
Rise and the IPS Collective are thrilled to announce a significant state legislative victory, following the IPS Collective securing more than $8.3 million in state funding for Individual Placement and Support (IPS) services, ensuring 1100 Minnesotans living with mental illness continue to access vital employment support. This crucial funding will largely preserve current service levels through June 30, 2027.
This achievement marks a substantial turnaround from the initial budget proposal, which, combined with the expiration of temporary funds, would have dramatically reduced support for IPS programs statewide, leaving only $1.55 million. Thanks to the unwavering collective advocacy of individuals, providers and legislative champions, the final funding level is nearly $7 million more than originally proposed.
“This funding is a testament to the power of collective advocacy and the commitment of our legislative leaders to supporting recovery and self-sufficiency for Minnesotans,” said Robert Reedy, Director of Vocational Programs at Rise. “Employment is a cornerstone of mental health recovery, fostering purpose, financial independence and community integration. This investment means that critical services will continue to be available for those who need them most.”
The IPS Collective extends its deepest gratitude to the state legislators who championed this vital cause and support from the Minnesota Department of Employment and Economic Development (DEED). Their leadership and dedication were instrumental in securing this critical investment in the well-being and economic participation of Minnesotans living with mental illness:
- Senator Zaynab Mohamed (Senate Chief Author)
- Senator Bobby Joe Champion (Senate Jobs Committee Chair)
- Senator Rich Draheim (Senate Jobs Committee Republican Lead & Co-Author)
- Representative Kari Rehrauer (House Chief Author)
- Representative Dave Baker (House Republican Workforce Committee Chair)
- Representative Dave Pinto (House DFL Workforce Committee Chair)
The Collective looks forward to continued collaboration to ensure long-term, sustainable support for these essential services.
Understanding IPS: Empowering Recovery Through Work
Individual Placement and Support (IPS) model is designed to promote work as an integral part of the mental health recovery process. IPS is a highly effective supported employment service model that helps individuals with serious mental illness find and retain competitive jobs of their choice in the community. These IPS services are funded through DEED’s Vocational Rehabilitation Services Division. This funding ensures that current service levels for these transformative programs can largely be maintained, offering stability and hope for individuals seeking to re-enter or thrive in the workforce.
About the IPS Collective
The IPS Collective is a coalition of non-profit provider organizations which advocate for statewide resources and policies that support Individual Placement and Support (IPS) services. The Collective includes Functional Industries, Goodwill-Easter Seals of Minnesota, Guild, Hope Haven, Lutheran Social Services (LSS), MRCI, Productive Alternatives, Rise, Tran$Em, and West Central Industries (WCI). These organizations work together to create visibility on the impact of IPS programming, pooling their resources and strengths to create change.
About Rise
Rise is a leading provider of community-based career, job exploration, and life enrichment services to more than 2,500 people annually throughout Minnesota and western Wisconsin. Founded in 1971 in Spring Lake Park, Minnesota, we are focused on our mission to unlock potential and open doors to success through creative solutions and customized support.
For more information about IPS services within DEED’s Vocational Rehabilitation Services Division, go to https://mn.gov/deed/job-seekers/disabilities/ips/. For more information about the IPS Collective, please contact …..of (name of group) at (email) or (phone number).