[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 3402 Introduced in Senate (IS)]

<DOC>






119th CONGRESS
  1st Session
                                S. 3402

To amend titles XVIII and XIX of the Social Security Act and the Public 
Health Service Act to improve the certified community behavioral health 
                clinic program, and for other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            December 9, 2025

 Mr. Cornyn (for himself, Ms. Smith, Mr. Tillis, and Ms. Cortez Masto) 
introduced the following bill; which was read twice and referred to the 
                          Committee on Finance

_______________________________________________________________________

                                 A BILL


 
To amend titles XVIII and XIX of the Social Security Act and the Public 
Health Service Act to improve the certified community behavioral health 
                clinic program, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    (a) Short Title.--This Act may be cited as the ``Ensuring 
Excellence in Mental Health Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title.
TITLE I--STRENGTHENING AND PROVIDING COST-RELATED PAYMENT FOR CERTIFIED 
      COMMUNITY BEHAVIORAL HEALTH CLINICS IN THE MEDICAID PROGRAM

Sec. 101. Coordination of Medicaid-certified community behavioral 
                            health services with community behavioral 
                            health clinics operating grant program; 
                            community behavioral health clinics 
                            accreditation option.
Sec. 102. Establishing a Medicaid prospective payment system for 
                            certified community behavioral health 
                            clinics.
Sec. 103. Expanding certified community behavioral health clinic 
                            services within Medicaid demonstration 
                            program.
Sec. 104. Expanding certified community behavioral health clinic 
                            services covered under the Medicaid State 
                            plan.
  TITLE II--COVERAGE OF CERTIFIED COMMUNITY BEHAVIORAL HEALTH CLINIC 
                  SERVICES UNDER THE MEDICARE PROGRAM

Sec. 201. Coverage of certified community behavioral health clinic 
                            services under the Medicare program.
Sec. 202. Payment for certified community behavioral health clinic 
                            services under the Medicare program.
Sec. 203. Non-application of Medicare part B deductible for certified 
                            community behavioral health clinic 
                            services.
Sec. 204. Right to seek Payment Reimbursement Review Board review of 
                            cost reports.
Sec. 205. Extending safe harbor under anti-kickback statute to waivers 
                            of certified community behavioral health 
                            clinic coinsurance.
Sec. 206. Effective date.
             TITLE III--COMMUNITY BEHAVIORAL HEALTH CLINICS

Sec. 301. Community behavioral health clinics.
   TITLE IV--LIABILITY PROTECTION FOR CERTIFIED COMMUNITY BEHAVIORAL 
                        HEALTH CLINIC CLINICIANS

Sec. 401. Conferring protection under the Federal Tort Claims Act to 
                            clinicians in certified community 
                            behavioral health clinics.

TITLE I--STRENGTHENING AND PROVIDING COST-RELATED PAYMENT FOR CERTIFIED 
      COMMUNITY BEHAVIORAL HEALTH CLINICS IN THE MEDICAID PROGRAM

SEC. 101. COORDINATION OF MEDICAID-CERTIFIED COMMUNITY BEHAVIORAL 
              HEALTH SERVICES WITH COMMUNITY BEHAVIORAL HEALTH CLINICS 
              OPERATING GRANT PROGRAM; COMMUNITY BEHAVIORAL HEALTH 
              CLINICS ACCREDITATION OPTION.

    Section 1905(jj) of the Social Security Act (42 U.S.C. 1396d(jj)) 
is amended--
            (1) in paragraph (2)(C), by inserting before the period at 
        the end ``and including any such data as the State, by 
        agreement with the Secretary, shall access via the system 
        described in section 340J-3 of the Public Health Service 
        Act.''; and
            (2) by adding at the end the following new paragraph:
            ``(3) Accreditation.--In the case of services furnished on 
        or after January 1, 2026, at the option of the State, a State 
        may determine that an organization does not meet such criteria 
        as the Secretary may establish for certified community 
        behavioral health clinics pursuant to section 223 of the 
        Protecting Access to Medicare Act unless the organization has 
        received accreditation by an accreditation body approved under 
        section 340J-4 of the Public Health Service Act. An election by 
        a State under the preceding sentence shall not relieve a State 
        of the requirement to certify an organization under paragraph 
        (2)(A).''.

SEC. 102. ESTABLISHING A MEDICAID PROSPECTIVE PAYMENT SYSTEM FOR 
              CERTIFIED COMMUNITY BEHAVIORAL HEALTH CLINICS.

    Section 1902 of the Social Security Act (42 U.S.C. 1396a) is 
amended by adding at the end the following new subsection:
    ``(yy) Payment for Services Provided by Certified Community 
Behavioral Health Clinics.--
            ``(1) In general.--Beginning with fiscal year 2026, with 
        respect to services furnished on or after January 1, 2026, and 
        each succeeding fiscal year, a State that has elected in its 
        State plan under this title to furnish the services described 
        in section 1905(a)(31) shall provide under the plan for payment 
        for services furnished by a certified community behavioral 
        health clinic described in section 1905(jj)(2) (in this 
        subsection referred to as a `clinic') in accordance with the 
        provisions of this subsection.
            ``(2) Payment for services in initial year.--
                    ``(A) In general.--Subject to subparagraphs (B) and 
                (C) and the succeeding provisions of this subsection, 
                and in accordance with paragraph (1), for services 
                furnished by a clinic in the first fiscal year 
                beginning after September 30, 2025, for which a State 
                elects to provide for payment for services described in 
                section 1905(a)(31), the State shall provide for 
                payment for such services in an amount (calculated on 
                the basis of daily visits or unduplicated monthly 
                visits, at the State's election) that is equal to 100 
                percent of the average costs of the clinic which are 
                reasonable and related to the furnishing such services 
                during a base year corresponding to the fiscal year 
                preceding such initial fiscal year.
                    ``(B) Additional payment considerations.--
                            ``(i) In general.--A State may elect in its 
                        State plan to carry out any of the following, 
                        consistent with the methodology described in 
                        guidance issued under the authority of section 
                        223(b) of the Protecting Access to Medicare 
                        Act:
                                    ``(I) Establishing separate 
                                prospective payment system rates for 
                                special populations.
                                    ``(II) Using a system of outlier 
                                payments for a portion of costs of 
                                furnishing the covered benefit.
                                    ``(III) With respect to the crisis 
                                services included within the benefit 
                                described in section 1905(a)(31)--
                                            ``(aa) requiring that 
                                        clinics, in their cost reports, 
                                        segregate costs relating to 
                                        mobile crisis teams, emergency 
                                        crisis intervention services, 
                                        or crisis stabilization as 
                                        components of the covered 
                                        benefit described in section 
                                        1905(a)(31); and
                                            ``(bb) providing for a 
                                        prospective payment system rate 
                                        for any or all of such crisis 
                                        services, distinct from the 
                                        rate encompassing the remainder 
                                        of the services described in 
                                        section 1905(a)(31).
                            ``(ii) States with pama demonstration 
                        programs.--If a State electing to furnish 
                        services described in section 1905(a)(31) under 
                        its State plan, as of the year prior to the 
                        initial fiscal year described above, operated a 
                        demonstration program under section 223 of the 
                        Protecting Access to Medicare Act, such State 
                        may elect under the State plan to establish as 
                        its initial rate under this paragraph, for any 
                        clinic that participated in such demonstration, 
                        the rate that would otherwise have applied 
                        under the demonstration.
                            ``(iii) Use of estimated or projected 
                        data.--In the absence of complete actual cost 
                        data representing the provision of the full 
                        covered benefit in such base year, the State 
                        may provide in its State plan amendment to 
                        allow clinics to use estimated or projected 
                        data relating to specific services for which 
                        they lack cost experience.
                    ``(C) Inflation adjustment.--The per-unit rate 
                derived from the cost data described in subparagraph 
                (A) shall be annually adjusted by the inflationary 
                factor described in section 1834(aa)(2)(C), and shall 
                be adjusted to take into account any increase or 
                decrease in the scope of such services furnished by the 
                clinic in the fiscal year involved.
            ``(3) Payment for services in subsequent fiscal years.--
        Subject to the succeeding provisions of this subsection, for 
        services described in section 1905(a)(31) furnished by a clinic 
        after the initial fiscal year described in paragraph (2), the 
        State plan shall provide for payment for such services in an 
        amount (calculated on the basis of daily visits or unduplicated 
        monthly visits, at the State's election) that is equal to the 
        amount calculated under this subsection for such services and 
        clinic for the preceding fiscal year--
                    ``(A) increased by the percentage increase in the 
                inflationary factor described in section 1834(aa)(2)(C) 
                for such fiscal year; and
                    ``(B) adjusted to take into account any increase or 
                decrease in the scope of such services furnished by the 
                clinic during the fiscal year involved.
            ``(4) Establishment of initial fiscal year payment for new 
        clinics.--
                    ``(A) In general.--In any case in which an entity 
                first qualifies as a certified community behavioral 
                health clinic in a year after the first fiscal year in 
                which the State first provides for payment for the 
                services described in section 1905(a)(31) in accordance 
                with paragraph (1), the State plan shall provide for 
                payment for such services in the first fiscal year in 
                which the clinic so qualifies in an amount (calculated 
                on the basis of daily visits or unduplicated monthly 
                visits, at the State's election) that is equal to the 
                rates established under this subsection for other such 
                clinics located in the same or adjacent area with a 
                similar case load, or in the absence of any such 
                clinic, based on the reasonable projected costs per 
                visit of the clinic.
                    ``(B) Additional requirement.--Not later than the 
                second fiscal year in which a clinic described in 
                subparagraph (A) furnishes services described in 
                section 1905(a)(31)--
                            ``(i) the State shall establish a unique 
                        payment rate for the clinic based on the 
                        methodology described in paragraph (2), using 
                        reasonable and related costs from the clinic's 
                        first fiscal year of operation as the basis for 
                        establishing such rates; and
                            ``(ii) in any year following the 
                        establishment of an initial rate under this 
                        subparagraph, the State plan shall provide for 
                        the payment amount to be adjusted in accordance 
                        with paragraph (3) and (as applicable) 
                        reestablished in accordance with paragraph (5).
            ``(5) Optional periodic rebase of pps rates.--
        Notwithstanding the preceding paragraphs, a State may elect in 
        its State plan amendment to establish a new prospective payment 
        system rate for clinics on a periodic basis. Under such an 
        election, periodically (but not less frequently than every 3rd 
        fiscal year) after the initial year, as described in paragraph 
        (2), in which the State first furnishes the services described 
        in section 1905(a)(31), the State shall set a new rebased rate 
        for each clinic whose rate was initially set pursuant to 
        paragraph (2), except that costs from the fiscal year preceding 
        such rebasing year, rather than costs from the base year 
        described in paragraph (2), shall be used in establishing a new 
        cost-related rate for each clinic. States electing this option 
        shall also follow this methodology and schedule in periodically 
        establishing new rates for those clinics whose initial rates 
        were set as described in paragraph (4).
            ``(6) Administration in the case of managed care.--
                    ``(A) In general.--In the case of services 
                furnished by a certified community behavioral health 
                clinic pursuant to a contract between the clinic and a 
                managed care entity (as defined in section 
                1932(a)(1)(B)), the State plan shall provide for 
                payment to the clinic by the State of a supplemental 
                payment equal to the amount (if any) by which the 
                amount determined under the preceding paragraphs of 
                this subsection or as applicable, paragraph (7), 
                exceeds the amount of payments under the contract, with 
                such supplemental payment being made pursuant to a 
                payment schedule agreed to by the State and the 
                certified community behavioral health clinic, but not 
                less frequently than every 3 months.
                    ``(B) Option to delegate pps payment to managed 
                care entities through an alternative payment 
                methodology.--
                            ``(i) In general.--Notwithstanding 
                        subparagraph (A), nothing in this subsection 
                        shall be interpreted to preclude a State from 
                        amending its State plan to provide for an 
                        alternative payment methodology in accordance 
                        with paragraph (7), under which the State may 
                        delegate to a managed care entity (as defined 
                        in section 1932(a)(1)(B)) the responsibility to 
                        pay the clinic at least the rate determined 
                        under the preceding subparagraphs or as 
                        applicable, paragraph (7).
                            ``(ii) Requirements.--In making a 
                        delegation under clause (i), a State shall 
                        ensure that it complies with the requirements 
                        described in paragraph (7) and shall use 
                        reconciliation and oversight processes to 
                        ensure that each clinic is paid at least the 
                        amounts required under the preceding paragraphs 
                        of this subsection.
            ``(7) Alternative payment methodologies.--Notwithstanding 
        any other provision of this subsection, a State plan may 
        provide for payment in any year to a certified community 
        behavioral health clinic for services described in section 
        1905(a)(31) in an amount which is determined under an 
        alternative payment methodology that--
                    ``(A) is agreed to by the State and the clinic; and
                    ``(B) results in payment to the clinic of an amount 
                which is not less than the amount otherwise required to 
                be paid to the clinic under this subsection.''.

SEC. 103. EXPANDING CERTIFIED COMMUNITY BEHAVIORAL HEALTH CLINIC 
              SERVICES WITHIN MEDICAID DEMONSTRATION PROGRAM.

    (a) Additional Services Within Demonstration Program.--
            (1) In general.--Section 223(a)(2)(D) of the Protecting 
        Access to Medicare Act of 2014 (42 U.S.C. 1396a note), is 
        amended to read as follows:
                    ``(D) Scope of services.--Provision (in a manner 
                reflecting person-centered care) of at least the 
                following required services described in clause (i), 
                which may be furnished either directly or, if not 
                available directly, through formal relationships with 
                other providers, and at the discretion of the certified 
                community behavioral health clinic, at least 1 of the 
                following additional services described in clause (ii) 
                furnished directly by the clinic:
                            ``(i) Required services.--
                                    ``(I) Crisis mental health 
                                services, including 24-hour mobile 
                                crisis teams, emergency crisis 
                                intervention services, and crisis 
                                stabilization.
                                    ``(II) Screening, assessment, and