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Mental Health and Alcohol and Other Drugs Capital Renewal Fund

The Mental Health and Alcohol and Other Drugs Capital Renewal Fund provides vital funding to mental health and alcohol and other drugs facilities across Victoria.

The fund, valued at $70 million, responds directly to recommendations from the Royal Commission into Victoria’s Mental Health System. It aims to address physical safety and wellbeing risks in Victoria’s mental health and alcohol and other drugs facilities.

The funding will deliver minor infrastructure works, such as remodelling and refurbishment projects to improve safety for carers, consumers and staff.

$20 MILLION
$20 MILLION

CURRENT FUNDING

FUNDING
FUNDING

INFRASTRUCTURE UPGRADES

INCREASED
INCREASED

SAFETY AND COMPLIANCE

IMPROVED
IMPROVED

HEALTH FACILITIES

The fund provides investment for projects that:

  • ensure a secure working environment for consumers and staff
  • mitigate accessibility and safety risks
  • enhance amenities
  • replace aging building engineering services
  • improve staff areas, systems, and technology
  • address damaged and severely deteriorated building fabric.

The Mental Health and Alcohol and Other Drugs Capital Renewal Fund aims to achieve the following benefits:

Enhanced safety

Projects will prioritise safety while maintaining a therapeutic and least restrictive environment for consumers.

Support growing demand

Upgrades to clinical services and increased capacity ensure local communities can access the treatment they need when they need it. Greater flexibility in delivering support it will also reduce the number of crisis situations and flow on to emergency services.

Improved patient outcomes

Modern facilities and equipment will support the delivery of enhanced and contemporary models of care. This improves patient outcomes and wellbeing.

Enhanced working environment

Improvements and upgrades to existing working areas for staff and medical professionals will ensure they can continue to provide high quality care in a safe environment. Updated systems and technology can also reduce administrative burden, and increase time dedicated to consumer care.

Stronger local economies

Construction and upgrades of public health care services provide opportunities for local trades and businesses to undertake project-based work. This contributes to the economic viability of Victorian communities.

The expansion of public health care services can also provide ongoing employment opportunities for medical and healthcare professionals and create employment pathways for younger generations.

Projects funded through the Mental Health and Alcohol and Other Drugs Capital Renewal Fund are administered by the Victorian Health Building Authority.

These projects are delivered by the public funded health service provider.

Mental Health and AOD Capital Renewal Fund projects

Mental Health and AOD Capital Renewal Fund projects

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Mental Health and AOD Capital Renewal Fund projects

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News

A person writing notes while facing another person sitting on a couch and speaking to them

30 March 2026

More upgrades for Victorian mental health and alcohol and other drugs servi...

Mental health and alcohol and other drugs (AOD) services will share in $20 million in grants from the latest round of the Mental Health and AOD Capital Renewal Fund.  
News
A breakout space in a mental health facility with armchairs and large windows

09 December 2024

Mental Health Capital Renewal Fund 2024-25 round open for submissions

Applications now open for the latest round of the Mental Health Capital Renewal Fund.
News
A person writing notes while facing another person sitting on a couch and speaking to them

21 October 2024

Latest mental health grant funding revealed

Eighteen health services will share in grants from the Community Mental Health Expansion Program and Mental Health Capital Renewal Fund.
News
A breakout space in a mental health facility with armchairs and large windows

01 December 2023

Mental Health Capital Renewal Fund open for submissions

The fund will provide $10 million in vital infrastructure upgrades for Victorian mental health services.
News

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Last updated: 25 March 2026