Sponsors (4)
The bill increases access to behavioral health and expands training capacity by allowing supervised psychology trainees to bill Medicare/Medicaid, but does so at the risk of variable care quality and added fiscal and administrative burdens depending on how states and providers implement the changes.
Medicare, Medicaid, and CHIP enrollees (older adults, low‑income adults, and children/youth) gain increased access to behavioral and psychological services because advanced psychology trainees can provide billable care under general supervision.
Clinical psychology trainees, training programs, and hospitals gain more practical training opportunities and faster workforce entry as trainee-provided services become billable, expanding behavioral health capacity.
Medicare and state programs get clearer billing rules (a standardized Medicare modifier) and targeted technical assistance/examples that improve payment transparency and reduce some administrative barriers to implementing trainee billing.
Some patients (Medicare and Medicaid enrollees, children, and people with chronic conditions) may receive care from less-experienced trainees under general supervision, producing variable quality or continuity depending on supervision and state implementation.
Taxpayers and Medicare could face higher program costs if billing for trainee-provided services increases overall claims or reimbursements without offsets.
Providers and states will incur administrative costs and complexity to update billing systems, change waivers or statutes, and implement the new modifier (including a one-year deadline for Medicare changes).
Based on analysis of 3 sections of legislative text.
Defines "advanced psychology trainee" and "general supervision," requires an HHS billing modifier for trainee services, and directs HHS to guide States on Medicaid/CHIP coverage of those services.
Creates a new federal definition for "advanced psychology trainee" (doctoral interns and postdoctoral residents in accredited programs) and defines "general supervision" to allow trainees to deliver services under a supervising psychologist without the supervisor being physically present. Directs HHS to create a billing modifier to identify services by these trainees and to issue guidance to States on how Medicaid and CHIP can cover those services. Key deadlines are one year after enactment for the billing modifier, guidance, and the effective date for covered services.
Introduced July 17, 2025 by Troy Balderson · Last progress July 17, 2025