The federal government will no longer pay for patients covered by Medicare and Medicaid at one San Antonio mental health and addiction treatment center.
The Center for Medicare and Medicaid Services ended its agreement with Laurel Ridge Treatment Center, citing health and safety violations. The agency alerted Laurel Ridge, located on the North Side just off Loop 1604, of the termination in a letter on Wednesday.
The federal government will not cover treatment for patients who are admitted to the psychiatric hospital on or after April 30. For patients admitted before then, the government will cover their treatment for up to 30 days after April 30.
“We are deeply committed to providing high-quality care to each patient we serve and are determined to address any areas of concern in order to successfully participate in the Medicare program,” Laurel Ridge CEO Ashley Sacriste told Public Health Watch. “We are taking all efforts to remain a provider of choice and fulfill all obligations.”
The termination comes after news reports from both Public Health Watch and KSAT revealed how staffing shortages have caused risky conditions at the hospital. Three Laurel Ridge patients died in 2025, according to Public Health Watch’s reporting. Just one patient had died in the four years before.
In March 2025, a 44-year-old man with schizophrenia died in his room the same day he was admitted. The Bexar County Medical Examiner’s Office found that he died of natural causes complicated by his mental health episode. He had been administered psychiatric drugs and put in seclusion. Laurel Ridge staff went nearly an hour without checking on him — when they found him unresponsive — even though state guidance required them to check every 15 minutes, according to a May federal report.
In October 2025, a 26-year-old woman who was experiencing heroin withdrawal died. The medical examiner ruled that she died of natural causes, but Laurel Ridge staff did not check on her regularly throughout the night.
Sacriste maintained that the facility will continue to treat patients.
“At present, the facility is open and fully functional, and we will continue to provide care for all patients currently with us,” she said.
In 2024, Jacob Cuellar, the facility’s CEO was arrested on charges of sexually abusing a juvenile. Sacriste took over shortly after.