House Bill 7006 aims to enhance the availability of mental health services in Tennessee by allowing the Department of Mental Health and Substance Abuse Services to allocate state funds for contracting with private service providers to offer inpatient psychiatric services specifically for uninsured individuals. This new provision emphasizes the state's commitment to addressing mental health needs by expanding service options.

Additionally, the bill mandates that by December 31, 2024, the department must report to the legislative leaders on the necessity of further inpatient psychiatric services in Knoxville. This report will assess the need for additional state funding for the potential construction of a state-owned and operated inpatient psychiatric facility in the city, thereby ensuring that local mental health needs are adequately evaluated and addressed.