TennCare Grants to Enhance Psychiatric Hospital Services

TennCare awards grants to improve psychiatric care across Tennessee.

TennCare, Tennessee’s Medicaid program, has announced the allocation of grants to ten psychiatric hospitals throughout the state. Each hospital will receive $1.5 million annually over two years. These funds are intended to support infrastructure improvements, workforce development, and enhanced clinical services for TennCare members, including children, adolescents, and adults.

The selected hospitals are Compass Intervention Center, Crestwyn Behavioral Health Hospital, Delta Specialty Hospital, East Tennessee Behavioral Health, Erlanger Behavioral Health Hospital, Parkridge Valley Hospital, Lakeside Behavioral Health System, Johnson City Medical Center, Rolling Hills Hospital, and TrustPoint Hospital.

Psychiatric hospitals serve a vital role in treating TennCare members facing acute psychiatric crises, including those with co-occurring substance use disorders. The grants aim to improve access and quality of care for complex populations and enhance continuity of care through collaboration with key stakeholders.

This initiative is funded through Tennessee’s TennCare III Medicaid waiver, which rewards the state for effective management of its Medicaid program with shared savings. In the first three years of the ten-year waiver, Tennessee achieved over $900 million in shared savings, which are now being reinvested to improve the health and well-being of TennCare members and their communities.

Stephen Smith, TennCare’s director, stated, “This initiative will help us better address a challenging and complex need by providing greater access to comprehensive psychiatric mental health services.” He also expressed gratitude to Governor Lee and the General Assembly for their support of mental health services for TennCare members and all Tennesseans.

TennCare provides health insurance to over 1.4 million Tennesseans, including children, pregnant women, caretaker relatives of dependent children, older adults, and adults with disabilities. More information about TennCare can be found on their official website: TennCare.

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