Strengthening Medicaid for Serious Mental Illness Act

This bill increases federal Medicaid funding for states that provide intensive community-based services to adults (21 or older) with serious mental illness. States qualify for higher federal reimbursement rates (3-25 percentage points) based on offering more of seven defined service types, including assertive community treatment, supported employment, peer support, mobile crisis intervention, intensive case management, and housing-related activities. The bill requires states to meet quality standards, report on service access and outcomes (including demographic data), and ensure services are delivered in the most integrated setting possible to prevent unnecessary hospitalization and support care continuity, especially for young adults aging out of youth services.