Low-Income Group Psilocybin-Assisted Therapy for Depression
The effectiveness trialWe proved it can be done. Now we prove it’s worth covering.
Study Proposal · $400K – $1.2M · Three scoped tiers
02 The result we already have
The first clinical trial run inside a state psilocybin program worked.
In 2024–25 the Sheri Eckert Foundation put $30,000 into a question nobody had answered: can group psilocybin therapy be delivered safely and affordably to low-income adults, inside Oregon’s regulated system? The answer came back in about nine months, and it was published.
enrolled → completers, an open-label feasibility pilot with 95% retention among those who began treatment
total study cost, roughly $1,250 per participant, about the price of a used car
from funding to published results, against roughly 33 months for a typical Phase 2
serious adverse events across two group administration sessions per participant
03 The barrier
Oregon built legal access. It did not build affordable access.
Thirty-seven states have passed or are pushing psychedelic access legislation. Legality was the first gate. Price is the second one, and no state has cleared it. A program that only serves people who can write a four-figure check is not a public health program.
Paid out of pocket. No insurer covers it, no public program reimburses it, and the people with the highest burden of depression are the least able to pay. The result is a legal program with a demographically narrow client base.
- Depression is one of the largest sources of human suffering and roughly two-thirds of patients do not reach remission on their first treatment.
- Affordability and non-representative participation are the two problems named most often in state access programs, and they are the same problem.
- Oregon is cutting, not expanding. The state faces roughly $1 billion in budget pressure, with around 400,000 Oregonians at risk of losing Oregon Health Plan coverage.
- Payers do not fund promise. They fund evidence of effectiveness and evidence of cost. Right now this field has produced the first and almost none of the second.
04 The mechanism
Group delivery is the only lever that moves the price enough to matter.
A one-to-one psilocybin session buys eight hours of two licensed facilitators’ time for one person. Cohorts of six spread that same clinician time across six people, without take-home dosing and without leaving the licensed setting. The cost curve bends, and the therapeutic content may improve rather than degrade.
The economics
Roughly 35% modeled cost reduction, and about 51% for psilocybin in major depression
Marseille, Stauffer et al., Frontiers in Psychiatry (2023), the first empirical estimate of cost savings and improved access from group psychedelic therapy. LIGPAT 1 then delivered a real cohort at about $1,250 per participant.
The clinical case
Group is not a compromised version of individual care
Group psychedelic therapy is understudied rather than disproven. The published work that exists, including psilocybin-assisted group therapy for long-term AIDS survivors (Anderson et al., 2020) and the MDMA group protocol developed by Stauffer et al. (2025), suggests the shared container can add therapeutic value, not just save money.
participants per cohort, the group size LIGPAT 1 ran and LIGPATD 2 keeps
licensed facilitators covering a full cohort rather than a single client
of dosing stays inside a licensed service center with continuous in-person monitoring
delivered cost per participant in the completed feasibility study
05 The study
A randomized, controlled effectiveness trial.
LIGPATD 2 keeps the delivery model that worked and adds what a feasibility study cannot provide: a control arm and a health-economics arm. Medicaid-eligible Oregon adults with major depression are randomized to immediate treatment or to a standard-of-care waitlist treated after the control window.
Screen & randomize
Intake, medical history, in-person screening visit and informed consent with the PI. Randomization to immediate treatment or standard-of-care waitlist.
Two preparation sessions
Group preparation in the assigned cohort of six, run online to remove the transportation barrier that disproportionately affects this population.
Two administration sessions
Six to eight hours each, all six participants dosed together, continuous monitoring by licensed facilitators. No take-home dosing.
Integration & follow-up
Group integration two to three days after each administration, then structured follow-up with the health-economics measures carried forward.
- Who. Oregon adults 21+ at or below 200% of the federal poverty level with a DSM-5 diagnosis of major depressive disorder. SSRIs permitted throughout, as in LIGPAT 1.
- Recruitment. Community mental health clinics and behavioral health providers across Oregon, plus direct referral from the Sheri Eckert Foundation’s Psilocybin Access Fund, whose waitlist now exceeds a thousand people.
- Representation. Dedicated treatment-and-control cohort pairs for Spanish speakers, BIPOC participants, and rural participants, facilitated by similarly identifying facilitators.
Outcome measures collected at baseline, after each treatment, and monthly through one year post-treatment. The one-year tail is what makes the economics arm possible and what hands data forward to a utilization analysis.
06 Two aims
One trial, two answers, both required for coverage.
A payer will not act on either half alone. Effectiveness without cost data is an interesting clinical finding. Cost data without a control arm is a model, not a measurement. LIGPATD 2 produces both from the same participants, at the same time.
Aim 1 · Does it work
Effectiveness of group psilocybin therapy against standard care in a low-income population
Hypothesis: follow-up PHQ-9 scores in the psilocybin arm will be statistically and clinically significantly lower than standard-of-care scores. Powered on the effect observed in LIGPAT 1 rather than on borrowed assumptions, with attrition budgeted conservatively at 30% in the control arm.
Aim 2 · What does it save
Cost-effectiveness and budget impact against current standards of care
Cost-effectiveness analyses in this field have so far relied on economic models and post-hoc data. This one is built on cost and quality-of-life data captured prospectively inside a running trial, from the perspectives that actually decide coverage: payers, patients and providers.
07 What it unlocks
Fast answers now, and a feed into the long-term evidence base.
The intervention is short. Data starts arriving while the trial is still running, which is the opposite of the usual psychedelic-research timeline. The one-year follow-up then produces exactly the kind of longitudinal record a healthcare-utilization analysis needs, so LIGPATD 2 strengthens ORCHID rather than competing with it.
Trial-concurrent results
Depression, anxiety, PTSD and quality-of-life outcomes read out cohort by cohort as groups complete, not in a single dump at the end.
The economics package
QALYs, cost per QALY and a budget impact analysis, framed for a state Medicaid board and for commercial payers evaluating a behavioral health benefit.
Feeds the utilization work
A consented, one-year-followed cohort with service dates is precisely the input an ORCHID-style claims analysis is built to consume.
Who acts on this
State Medicaid boards and legislators
Every state weighing public coverage runs into the fiscal case first. A trial that reports cost per QALY against standard care in a Medicaid-eligible population is the artifact that conversation requires.
The leverage
Private dollars that unlock public dollars
A funded, in-flight trial is a far stronger position from which to request state matching support than a proposal is. Philanthropy here is not the funding source of record, it is the thing that makes the public ask credible.
08 Investment
Three honest tiers, from the smallest study still worth running.
This proposal exists in three developed versions, built for three different funding mechanisms. They are not a negotiation ladder. Each one answers a different question, and the cheapest one that answers your question is the one to fund.
The smallest design that still produces a controlled effectiveness result. Waitlist control, the full outcome battery, a lighter economics arm. Answers Aim 1 cleanly and gives Aim 2 a first real estimate.
The version with a complete line-item budget already built. Twelve cohorts of six, full health-economics arm with a dedicated health economist and biostatistician, a funded project coordinator, and a year of follow-up on every participant.
Multi-site recruitment through community mental health clinics statewide, dedicated Spanish-speaking, BIPOC and rural cohort pairs, and a full budget impact analysis sized to be decision-grade for a state Medicaid board.
09 Where the money goes
The Tier 2 budget, line by line.
Three years, twelve cohorts, seventy-two participants. Roughly two-thirds of this budget is people: a principal investigator at half effort, a funded project coordinator, and the licensed co-facilitators who sit with every cohort for a full dosing day.
Figures are drawn from the line-item budget workbook prepared by the principal investigator. Tier 1 and Tier 3 are scoped from the corresponding grant versions of this protocol and from the PI’s own estimate of the minimum viable and decision-grade designs; both would be costed in full before submission.
10 Team & next steps
The team that already delivered this once.
LIGPATD 2 is not a first attempt. The principal investigator designed, ran, co-facilitated and published the feasibility study, inside the same regulatory framework, with the same delivery partners.
Fund
Underwrite a tier outright, or anchor one. A lead commitment at any tier is what converts this from a protocol into a running trial.
Connect
Introductions to funders, payers, health plans or state health authorities with an interest in the cost side of behavioral health.
Match
Commit contingent on a public match. A private commitment is the strongest possible basis for a state or institutional matching request.