H.R. 2223: Building Capacity for Care Act

The Building Capacity for Care Act seeks to enhance mental health and substance use treatment facilities across the United States. It proposes the following key actions:

Loans, Loan Guarantees, and Grants

The bill authorizes the Secretary of Health and Human Services to provide financial support through:

• Loans: Money that must be repaid over time.
• Loan Guarantees: A commitment to cover a portion of a loan if the borrower defaults.
• Grants: Financial awards that do not require repayment.

Eligible Projects

The support is designated for:

• Purchasing, constructing, or renovating pediatric and adult mental health treatment facilities.
• Purchasing, constructing, or renovating facilities for substance use disorder treatment.
• Improving digital infrastructure and telehealth capabilities.
• Adding or converting inpatient beds for psychiatric and substance use disorder care.

Types of Eligible Entities

Organizations eligible to apply for these funds include:

• Public or private hospitals (including various types such as children's hospitals, psychiatric hospitals, and rural emergency hospitals).
• Substance use disorder treatment facilities.
• Mental health treatment facilities.
• Healthcare facilities employing licensed mental health professionals.

Application Process

Entities wanting to receive funding must submit an application demonstrating how their project will:

• Increase psychiatric or substance use disorder bed availability in areas that lack such resources.
• Provide services in high-need or under-resourced communities.
• Offer a comprehensive range of mental health or substance use disorder services.

Geographical Preferences for Funding

When distributing grants, the Secretary will prioritize locations that meet certain criteria, such as:

• Areas designated as mental health professional shortage areas.
• Counties with higher than average drug overdose or suicide rates compared to national figures.

Funding Limits and Conditions

The total amount allocated for loans and grants under this legislation will be capped at:

• Up to $200 million per year for fiscal years 2025 through 2029.

Additional conditions may include:

• The Secretary will set specific terms for loans and guarantees.
• A requirement that entities contribute at least 25% of the project cost from other sources.
• Determining eligibility based on the project's potential impact on public access to mental health care.

Mental Health and Substance Use Treatment Trust Fund

The bill also establishes a trust fund within the U.S. Treasury, designated for:

• Revenue generated from the loan program, remaining available to support community mental health services.

Overall, the Building Capacity for Care Act aims to increase access to mental health and substance use treatment resources, particularly in underserved areas, enhancing the national capacity for addressing these critical health needs.

Relevant Companies