Kelly introduces 'Behavioral Health Care Deregulation Act of 2026' to strengthen mental health support for American seniors

WASHINGTON, D.C. -- Today, U.S. Representative Mike Kelly (R-PA), a Co-Chair of the Congressional Mental Health Caucus, introduced the Behavioral Health Care Deregulation Act of 2026. This legislation improves mental health care and accessibility for Medicare recipients.

According to a 2025 report from the National Council on Aging, "One in five Americans will experience it in their lifetime. And nearly 15% of adults age 50 and older have some type of mental health disorder."

"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," said Rep. Kelly.

BACKGROUND

The Behavioral Health Care Deregulation Act of 2026:

• Repeals Medicare's 190-day lifetime limit on inpatient psychiatric hospital services.
• Eliminates cost-sharing (coinsurance/deductibles) for inpatient psychiatric services for individuals admitted under state involuntary commitment orders.
• Repeals specific administrative and regulatory requirements for inpatient psychiatric facilities to reduce provider burden.
• Temporarily boosts Medicare reimbursement for Behavioral Health Integration (BHI) codes (175% in 2027, 150% in 2028, 125% in 2029) and waives budget neutrality for these increases.
• Directs HHS to provide technical assistance and funding to help primary care practices adopt integration models starting January 1, 2027.
  

You can find full bill text here.