# Rep. Kelly Introduces Behavioral Health Bill

On October 21, 2026, Representative Mike Kelly introduced the Behavioral Health Care Deregulation Act of 2026, which would change Medicare coverage and reimbursement for behavioral health services if enacted. The proposal would remove the 190-day lifetime limit for inpatient psychiatric hospital services, increase reimbursement for Behavioral Health Integration codes from 2027 through 2029, and provide HHS technical assistance and funding for primary-care integration beginning January 1, 2027. The signal identifies no solicitation, contract, or currently available funding opportunity.

- Behavioral health providers and contractors serving Medicare beneficiaries can assess how the proposed coverage and reimbursement changes could affect service delivery and demand, while treating them as contingent on enactment.
- The proposed HHS technical assistance and funding could create future program or procurement activity, but the signal does not identify an established funding mechanism or acquisition.
- Procurement professionals should distinguish the legislation’s proposed funding from an active opportunity; no bid or contracting action is indicated at this stage.

**Jurisdictions:** federal
**Industries:** Healthcare
**Published:** October 21, 2026

### Government Entities
- U.S. House of Representatives
- U.S. Department of Health and Human Services (HHS)

### Key Quotes
> As more Americans seek mental health treatment, it's important for Congress to address these critical issues as well. The Behavioral Health Care Deregulation Act cuts both the red tape and the stigma surrounding mental health care to ensure American seniors have the care they need in their golden years.
> — Mike Kelly, U.S. Representative

### Sources
- [Kelly introduces "Behavioral Health Care Deregulation Act of 2026" to strengthen mental health support for American seniors | Congressman Mike Kelly](https://kelly.house.gov/media/press-releases/kelly-introduces-behavioral-health-care-deregulation-act-2026-strengthen) - Kelly House