A new bipartisan effort in Congress aims to bring long-overdue digital modernization to the behavioral health sector. The Behavioral Health Information Technologies (BHIT) Now Act, formally introduced as House Resolution 7427, proposes a $250 million federal investment to support behavioral health EHR adoption. This initiative could significantly transform how mental health and substance use treatment services are delivered in the United States.
Backed by lawmakers and industry leaders alike, the bill is designed to address glaring gaps in technology infrastructure that have long disadvantaged behavioral health providers compared to their physical health counterparts, especially in terms of behavioral health EHR adoption.
A Historic Disparity In Health IT Funding
When the HITECH Act was passed in 2009, it provided over $35 billion in incentives for hospitals and medical professionals to adopt certified EHR technology. The results were profound — within two years of the program’s launch, non-federal acute care hospitals saw a 53% increase in EHR adoption. Today, EHR systems are a staple in most of the physical health care world, streamlining everything from appointment scheduling to clinical documentation and care coordination.
But behavioral health care was left out.
Despite offering vital services for mental health, substance use disorders, and psychiatric care, behavioral health providers were excluded from the original incentive structure. That exclusion has had long-term consequences. According to data from the Medicaid and CHIP Payment and Access Commission (MACPAC):
- 96% of medical-surgical hospitals use EHRs.
- 89% of rehabilitation hospitals use EHRs.
- Just 49% of psychiatric hospitals have adopted EHR systems.
- Among outpatient providers, EHR use is common in cardiology, neurology, and internal medicine (over 89%), but drops to 61% in psychiatry.
These numbers highlight a critical digital divide, one that impacts not only the providers, but also the quality, safety, and continuity of care for patients. The BHIT Now Act aims to close this gap and accelerate behavioral health EHR adoption nationwide.
What The BHIT Now Act Aims To Do
To help close this gap, the BHIT Now Act proposes allocating $250 million over three federal fiscal years via the Center for Medicare & Medicaid Innovation (CMMI). The funds would support behavioral health providers in acquiring, implementing, and optimizing EHR systems that meet the 2015 certification standards of the Office of the National Coordinator for Health Information Technology (ONC).
In addition to financial support, the bill also calls for a regulatory framework to guide safe and effective health IT use:
- The ONC and Substance Abuse and Mental Health Services Administration (SAMHSA) would be tasked with developing voluntary standards on privacy, data sharing, and clinical data elements.
- Providers must demonstrate compliance with the Interoperability and Patient Access Rule, ensuring that data can flow seamlessly across the care continuum.
The bill was introduced by Rep. Doris Matsui (D-Calif.), with original co-sponsors Rep. Markwayne Mullin (R-Okla.), Rep. Sharice Davids (D-Kan.), and Rep. Ron Estes (R-Kan.). It has been referred to the House Committee on Energy and Commerce for further review.
A Renewed Commitment After Past Attempts
This is not the first time Rep. Matsui has tried to bring behavioral health into the digital age. In 2017, she co-sponsored H.R. 3331, a bill that would have required CMMI to pilot EHR adoption incentive programs in behavioral health. While it passed the House, it failed to progress into law.
However, key provisions from that bill were eventually included in the SUPPORT Act of 2018, a sweeping bipartisan law aimed at tackling the opioid crisis. That law required CMMI to consider models supporting health IT use in behavioral health — but CMMI has yet to launch a formal demonstration project.
Matsui hopes the BHIT Now Act will be the legislative catalyst needed to finally make that support a reality, accelerating behavioral health EHR adoption across the country.
Driving A More Integrated System Of Care
EHRs do more than just digitize charts — they play a crucial role in modern, integrated health care delivery. When behavioral health providers are equipped with certified EHR systems, they are better able to:
- Coordinate care with primary care and specialist providers.
- Track treatment outcomes and quality metrics.
- Participate in value-based payment models.
- Improve billing accuracy and revenue cycle efficiency.
- Comply with regulatory standards and reporting requirements.
- Ensure better patient engagement through secure portals and access to information.
Without EHRs, behavioral health providers often rely on paper records or outdated systems that make interoperability nearly impossible. This leads to fragmented care, especially for patients who have co-occurring mental and physical health conditions. The BHIT Now Act is designed to break down these barriers and promote widespread behavioral health EHR adoption.
“In order to effectively treat a patient, the doctor must see the whole picture,” said Rep. Mullin in a public statement. “Behavioral health providers face a steep financial barrier to EHR adoption. I’m proud to introduce this legislation that will increase access to IT for behavioral health care providers and improve the quality of care patients receive.”
Widespread Industry Support
The BHIT Now Act has already received strong endorsements from several prominent organizations, including:
- American Psychological Association (APA)
- Association for Behavioral Health and Wellness (ABHW)
- National Alliance on Mental Illness (NAMI)
- National Council for Mental Wellbeing
These groups argue that improving access to health IT is essential to address the growing demand for mental health and substance use treatment in the U.S. — particularly as workforce shortages and systemic strain continue to plague the industry.
By equipping providers with the tools to streamline care, analyze outcomes, and better collaborate with physical health systems, the BHIT Now Act lays the groundwork for a more unified, effective, and patient-centered health care landscape, making behavioral health EHR adoption a feasible reality.
Looking Ahead: A Critical Investment In The Future Of Mental Health
With mental health challenges rising across all demographics, and demand for behavioral health services at an all-time high, the need for modernization is urgent. Yet many behavioral health clinics — especially small, community-based organizations — cannot afford the costs of hardware, software, and staff training needed to implement EHRs.
This bill is not just a technology initiative — it’s a public health investment.
“Electronic health records are no longer novel technology – they have become a must-have for patients and providers in our modern health care ecosystem,” said Rep. Matsui. “This legislation will open up the door for more behavioral health providers to get their hands on the hardware, software, and training they need to leverage vital technology that supports coordinated, high-value care.”
If passed, the BHIT Now Act could finally give behavioral health providers the support they need to join the digital era and deliver more integrated, accessible, and effective care through behavioral health EHR adoption.
As the legislative process unfolds, behavioral health stakeholders, providers, and patients alike will be watching closely — hopeful that this time, the policy and funding stars may finally align.
