The Texas Legislature has invested more than $1 billion for replacement and renovation of the hospitals in Austin, Kerrville, Rusk and San Antonio, and a new hospital in Houston. HHSC spent $10.7 million to replace the administration building in Rusk. In addition to this, during the 87th Legislature, regular session and special session, $282.5 million has been approved by the Legislature for a new hospital in the Dallas Metroplex, which is still in the planning stages.
HHSC's Health and Specialty Care System is working with medical schools across Texas to design these hospitals and with community providers and resources to ensure continuity of care. HSCS is building partnerships that will join cutting-edge research with operational expertise to create a more effective healing environment.
These projects are a part of the Health and Specialty Care System's transformation of inpatient psychiatric care in Texas. They are founded on three bedrock principles: Systems-based continuum of care, unparalleled care and easy access.
Systems-Based Continuum of Care
- State hospitals provide inpatient psychiatric care for adults, adolescents and children and are important for people requiring psychiatric services.
- Inpatient care at the state hospitals should not be the first line of treatment for a person. Texans need access to the full array of mental health services. State hospitals are a critical component of that system.
Unparalleled Care
- The planned renovations and new buildings will incorporate the latest design elements, complementing cutting-edge services.
- The design of behavioral health facilities can affect treatment and care. These projects' modern design will match the state-of-the-art care provided within them.
Easy Access
- People are better served when services are available close to home. Working alongside community partners to develop an array of services that support peoples' needs as close to their homes as possible is a top priority.
- By incorporating technology to bridge geographic gaps in areas where psychiatric staff are difficult to recruit, our plan allows us to provide services in locations that lack sufficient inpatient psychiatric treatment.
State Hospital Comprehensive Plan
HHSC worked with stakeholders to develop a Comprehensive Plan for the State Hospitals (PDF).
State Hospital Construction Projects
Austin State Hospital - Replacement Hospital
Summary
HHSC is working with Dell Medical School at The University of Texas at Austin to design and build a 240-bed hospital to replace the current one on campus.
Capacity Added: This project is a replacement project and will replace existing 240 adult beds.
Status:
Construction: 65.86 percent completed.
Cost/Budget
- Phase I - $15.5 million in planning and pre-planning approved by 2017 Legislature.
- Phase II - $165 million for construction approved by 2019 Legislature.
- Phase III - $124.1 million for construction approved by 2021 Legislature.
- Total - $304.6 million
Schedule
- Current Estimated Construction Completion: September 2023. (Will be delayed due to supply chain issues).
- Current Replacement Hospital opens: November 2023. (Will be delayed due to supply chain issues).
Photos, Videos and Virtual Tours
- Click here for the Austin State Hospital construction video.
- Open House Presentation (PDF)
- Click here for a 3D virtual tour.
- View a map of the construction areas on campus (PDF).



Kerrville State Hospital
Summary
Kerrville State Hospital is planning to renovate existing campus buildings and add 70-maximum security unit beds. Learn more from this video.
Capacity added: 70 new maximum security unit beds
Cost/Budget
- $30.5 million for design and renovation
Status
Construction: Substantially completed.
Final completion is pending the delivery and installation of some selected furniture.
Schedule
- Construction Completion: June 2022.
- MSU 70 Bed unit opens: TBD based on staffing.
Click here for the Kerrville State Hospital construction video.


Rusk State Hospital
Summary
Rusk State Hospital is building a new maximum-security unit with 100 beds and a new non-maximum-security unit with 100 beds. Rusk is also replacing the administration building. Learn more from this video.
Capacity added: The overall capacity after the completion of this project will remain the same at 288 beds. The capacity of the maximum-security beds will increase from 40 to 100 without adding capacity to the overall number of beds.
Cost/Budget
200 bed patient building
- $191,854,363 for planning, construction and demolition of an additional five buildings.
Administration building
- $10.7 million
Status
- Construction of the new patient units are 80 percent completed.
- Administration building is complete and operating.
- Demolition of additional 5 buildings is estimated to start at the end of July 2022.
Schedule
- Construction Completion: May 2023
- Administration building opened September 2021.
Click here for the Rusk State Hospital construction video.



San Antonio State Hospital
Summary
HHSC is building a 300-bed hospital to replace the current facility at San Antonio State Hospital and renovating another building to add 40 new beds on campus.
New Hospital Replacement Project
Capacity Added: This project will replace the existing 300 beds.
Cost/Budget:
- Phase I - $14.5 million for planning and pre-planning approved by 2017 Legislature
- Phase II - $190.3 million for construction approved by 2019 Legislature.
- Phase III – $152.4 million approved by 2021 Legislature.
Status
Construction of Replacement Hospital: Replacement Hospital is 61.62 percent completed.
Schedule
Replacement Hospital
- Current Estimated Construction Completion: December 2023.
- Current Replacement Hospital opens: January 2024.
Hospital Renovation
Capacity added: 40 beds
Cost/Budget
- Phase I - $11.5 million for planning and construction approved by 2017 Legislature.
Status
Renovation is completed and the unit is open for operations.
Schedule:
- Renovation completed March 2021.
- 40 Bed unit is now open for the patients.
Click here for the San Antonio State Hospital construction video.




John S. Dunn Behavioral Sciences Center
Summary
HHSC and UTHealth Houston are working together to build, design and operate the 264-bed John S. Dunn Behavioral Sciences Center in Houston's Texas Medical Center. The hospital will serve patients with short-term commitments.
Capacity added: 264 beds
Cost/Budget
- $126.5 million
Status
100 percent complete.
Schedule
- Construction Completed: March 2022.
- The first unit was opened in April 2022
Click here for the John S. Dunn Behavioral Sciences Center construction video.



Texas Behavioral Health Center at UT Southwestern
Summary
HHSC in partnership with UT Southwestern Dallas is working to design, construct and operate the 200-bed New Psychiatric Hospital in the Dallas- Fort Worth Metropolitan Area.
Children’s Health, upon learning about the hospital, approached the Health and Specialty Care System about its desire to support the Texas Legislature’s and HHSC’s goal of expanding the state hospital system. Children’s made a gift of $200 million that will add approximately 96 additional beds to the hospital to exclusively treat children and adolescent patients.
Capacity added: 200 beds
- Total of up to 296 beds (200 adult beds and 96 pediatric beds)
Cost/Budget
- $282.5 million for the adult wing and $200 million for the pediatric wing.
Status
- Currently in the design phase. Design team has completed the design development for the adult unit and has issued the pricing documents for the contractor to provide the Guaranteed Maximum Price (GMP).
- GMP is due to HHSC at the beginning of November.
- UT Southwestern and the Health and Human Services Commission has completed the process to acquire approximately 10 acres of land for the 200-bed adult unit from Dallas County.
- Contractor has mobilized to demolish the existing structure and utilities on site to prepare the site for the new hospital.
- The gift agreement was executed between HHSC and Children’s Health to add a 96-bed Pediatric Unit.
- The programming meetings for the pediatric wing have started and the design team is meeting with the stakeholders.
Schedule
- Estimated substantial completion date: July 2025 for the adult unit.
- Estimated substantial completion date: January 2026 for pediatric unit.

A rendering of the Texas Behavioral Health Center at UT Southwestern
