Medicaid Bump Act

II 117TH CONGRESS 1ST SESSION S. 1727 To amend title XIX of the Social Security Act to provide a higher Federal matching rate for increased expenditures under Medicaid for behavioral health services (including those related to mental health and substance use), and for other purposes. IN THE SENATE OF THE UNITED STATES MAY 20, 2021 Ms. SMITH (for herself and Ms. STABENOW) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend title XIX of the Social Security Act to provide a higher Federal matching rate for increased expendi- tures under Medicaid for behavioral health services (in- cluding those related to mental health and substance use), and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. SHORT TITLE. 3 This Act may be cited as the ‘‘Medicaid Bump Act’’. 4 VerDate Sep 11 2014 21:25 Jun 04, 2021 Jkt 019200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1727.IS S1727 pbinns on DSKJLVW7X2PROD with BILLS 2 •S 1727 IS SEC. 2. HIGHER FEDERAL MATCH FOR INCREASED EX- 1 PENDITURES UNDER MEDICAID FOR BEHAV- 2 IORAL HEALTH SERVICES. 3 (a) IN GENERAL.—Section 1903 of the Social Secu- 4 rity Act (42 U.S.C. 1396b) is amended— 5 (1) in subsection (a)(5)— 6 (A) by striking ‘‘an amount equal’’ and in- 7 serting ‘‘(A) an amount equal’’; and 8 (B) by adding at the end the following: 9 ‘‘and 10 ‘‘(B) subject to subsection (b)(6), an amount 11 equal to 90 percent of the amount by which— 12 ‘‘(i) the sum of the amounts expended dur- 13 ing such quarter which are attributable to the 14 offering, arranging, and furnishing (directly or 15 on a contract basis) under the State plan (or 16 under a waiver of the plan) of behavioral health 17 services (including those related to mental 18 health and substance use), exceeds 19 ‘‘(ii) the sum of the amounts expended 20 during the corresponding quarter in the 4-quar- 21 ter period ending on March 31, 2019, which are 22 attributable to the offering, arranging, and fur- 23 nishing (directly or on a contract basis) under 24 the State plan (or under a waiver of the plan) 25 of such services, plus’’; and 26 VerDate Sep 11 2014 21:25 Jun 04, 2021 Jkt 019200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1727.IS S1727 pbinns on DSKJLVW7X2PROD with BILLS 3 •S 1727 IS (2) in subsection (b), by adding at the end the 1 following new paragraph: 2 ‘‘(6) ACCOUNTABILITY AND MAINTENANCE OF 3 EFFORT REQUIREMENTS FOR ADDITIONAL FEDERAL 4 FUNDING FOR INCREASED EXPENDITURES FOR BE- 5 HAVIORAL HEALTH SERVICES.—As conditions for re- 6 ceiving the funds the Secretary is otherwise obli- 7 gated to pay to a State under subsection (a)(5)(B), 8 a State shall meet the following requirements: 9 ‘‘(A) SUPPLEMENT, NOT SUPPLANT.—The 10 State shall use the funds received under such 11 subsection to supplement, not supplant, the 12 level of State funds expended for the offering, 13 arranging, and furnishing (directly or on a con- 14 tract basis) under the State plan (or under a 15 waiver of the plan) of behavioral health services 16 (including those related to mental health and 17 substance use) through programs and activities 18 in effect as of April 1, 2021. 19 ‘‘(B) USE OF FUNDS FOR ACTIVITIES 20 THAT IMPROVE DELIVERY OF BEHAVIORAL 21 HEALTH SERVICES.—The State shall use the 22 funds received under such subsection for activi- 23 ties that increase the capacity, efficiency, and 24 quality in the provision of behavioral health 25 VerDate Sep 11 2014 21:25 Jun 04, 2021 Jkt 019200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1727.IS S1727 pbinns on DSKJLVW7X2PROD with BILLS 4 •S 1727 IS services (including those related to mental 1 health and substance use) delivered by pro- 2 viders, including through increases in payment 3 rates for providers of those services and the 4 adoption of other measures that ensure a reduc- 5 tion in staff turnover.’’. 6 (b) SUB-REGULATORY GUIDANCE.—Not later than 7 180 days after the date of enactment of this Act, the Sec- 8 retary of Health and Human Services shall issue sub-regu- 9 latory guidance to States specifying the services that are 10 behavioral health services for purposes of subparagraph 11 (B) of section 1903(a)(5) of the Social Security Act (42 12 U.S.C. 1396b(a)(5)), as added by subsection (a). 13 (c) EFFECTIVE DATE.—The amendments made by 14 this section shall apply with respect to calendar quarters 15 beginning on or after January 1 of the year beginning 16 after one year after the date of the enactment of this Act. 17 SEC. 3. REPORT REGARDING BEHAVIORAL HEALTH SERV- 18 ICE. 19 Not later than 1 year after the date of enactment 20 of this Act, and annually thereafter, the Secretary of 21 Health and Human Services shall submit to the Com- 22 mittee on Energy and Commerce of the House of Rep- 23 resentatives and the Committee on Finance of the Senate 24 a report regarding behavioral health services (including 25 VerDate Sep 11 2014 21:25 Jun 04, 2021 Jkt 019200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S1727.IS S1727 pbinns on DSKJLVW7X2PROD with BILLS 5 •S 1727 IS those related to mental health and substance use) provided 1 under title XIX of the Social Security Act (42 U.S.C. 2 1396 et seq.) in each State, specifying the payment rates 3 for such services, the rationale for deriving such payment 4 rates, and utilization of such services, as such data are 5 available. 6 Æ VerDate Sep 11 2014 21:25 Jun 04, 2021 Jkt 019200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6301 E:\BILLS\S1727.IS S1727 pbinns on DSKJLVW7X2PROD with BILLS