PRIA Logo™
Take the PRIA Score
Title 42 — The Public Health and WelfareRelease 119-73

§254c–16 Mental health services delivered via telehealth

Title 42 › Chapter CHAPTER 6A— - PUBLIC HEALTH SERVICE › Subchapter SUBCHAPTER II— - GENERAL POWERS AND DUTIES › Part Part D— - Primary Health Care › Subpart subpart i— - health centers › § 254c–16

Last updated Apr 6, 2026|Official source

Summary

The Secretary, through the Director of the Office for the Advancement of Telehealth, must give grants to public or nonprofit telehealth networks so they can run demo projects that deliver mental health care and education remotely to two special groups using qualified mental health professionals. The law defines key terms in one line each: "eligible entity" means a public or nonprofit telehealth provider network that offers mental health services; "qualified mental health professionals" means mental health providers paid under Medicare who have extra training to treat children and teens or the elderly; "special populations" means (A) children and adolescents in mental-health-underserved rural or urban areas and (B) elderly people in long-term care in those underserved areas; "telehealth" means using electronic and communication technology to provide health care, education, and related services from a distance. Grant funds must pay for remote diagnosis and treatment and for working with local public health groups. They may also cover telecom costs and pay providers at a reasonable cost set by the Secretary. Grants cannot be used to buy or install transmission equipment (except equipment used by the providers to deliver services) or to buy or build property. Grants must be spread fairly between the two groups and across U.S. regions. Applicants apply as the Secretary requires. A report evaluating the grant projects was due within 4 years after October 26, 2002. The program had $20,000,000 authorized for fiscal year 2002 and needed amounts authorized for fiscal years 2003 through 2006.

Full Legal Text

Title 42, §254c–16

The Public Health and Welfare — Source: USLM XML via OLRC

(a)In this section:
(1)The term “eligible entity” means a public or nonprofit private telehealth provider network that offers services that include mental health services provided by qualified mental health providers.
(2)The term “qualified mental health professionals” refers to providers of mental health services reimbursed under the medicare program carried out under title XVIII of the Social Security Act (42 U.S.C. 1395 et seq.) who have additional training in the treatment of mental illness in children and adolescents or who have additional training in the treatment of mental illness in the elderly.
(3)The term “special populations” refers to the following 2 distinct groups:
(A)Children and adolescents in mental health underserved rural areas or in mental health underserved urban areas.
(B)Elderly individuals located in long-term care facilities in mental health underserved rural or urban areas.
(4)The term “telehealth” means the use of electronic information and telecommunications technologies to support long distance clinical health care, patient and professional health-related education, public health, and health administration.
(b)(1)The Secretary, acting through the Director of the Office for the Advancement of Telehealth of the Health Resources and Services Administration, shall award grants to eligible entities to establish demonstration projects for the provision of mental health services to special populations as delivered remotely by qualified mental health professionals using telehealth and for the provision of education regarding mental illness as delivered remotely by qualified mental health professionals using telehealth.
(2)The Secretary shall award the grants under paragraph (1) in a manner that distributes the grants so as to serve equitably the populations described in subparagraphs (A) and (B) of subsection (a)(3).
(c)(1)An eligible entity that receives a grant under this section shall use the grant funds—
(A)for the populations described in subsection (a)(3)(A)—
(i)to provide mental health services, including diagnosis and treatment of mental illness, as delivered remotely by qualified mental health professionals using telehealth; and
(ii)to collaborate with local public health entities to provide the mental health services; and
(B)for the populations described in subsection (a)(3)(B)—
(i)to provide mental health services, including diagnosis and treatment of mental illness, in long-term care facilities as delivered remotely by qualified mental health professionals using telehealth; and
(ii)to collaborate with local public health entities to provide the mental health services.
(2)An eligible entity that receives a grant under this section may also use the grant funds to—
(A)pay telecommunications costs; and
(B)pay qualified mental health professionals on a reasonable cost basis as determined by the Secretary for services rendered.
(3)An eligible entity that receives a grant under this section shall not use the grant funds to—
(A)purchase or install transmission equipment (other than such equipment used by qualified mental health professionals to deliver mental health services using telehealth under the project involved); or
(B)build upon or acquire real property.
(d)In awarding grants under this section, the Secretary shall ensure, to the greatest extent possible, that such grants are equitably distributed among geographical regions of the United States.
(e)An entity that desires a grant under this section shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary determines to be reasonable.
(f)Not later than 4 years after October 26, 2002, the Secretary shall prepare and submit to the appropriate committees of Congress a report that shall evaluate activities funded with grants under this section.
(g)There are authorized to be appropriated to carry out this section, $20,000,000 for fiscal year 2002 and such sums as may be necessary for fiscal years 2003 through 2006.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

References in Text

The Social Security Act, referred to in subsec. (a)(2), is act Aug. 14, 1935, ch. 531, 49 Stat. 620. Title XVIII of the Act is classified generally to subchapter XVIII (§ 1395 et seq.) of chapter 7 of this title. For complete classification of this Act to the Code, see section 1305 of this title and Tables.

Amendments

2003—Subsec. (b)(2). Pub. L. 108–163, § 2(d)(1), substituted “subsection (a)(3)” for “subsection (a)(4)”. Subsec. (c)(1)(A). Pub. L. 108–163, § 2(d)(2)(A), substituted “subsection (a)(3)(A)” for “subsection (a)(4)(A)”. Subsec. (c)(1)(B). Pub. L. 108–163, § 2(d)(2)(B), substituted “subsection (a)(3)(B)” for “subsection (a)(4)(B)”.

Statutory Notes and Related Subsidiaries

Effective Date

of 2003 Amendment

Amendments

by Pub. L. 108–163 deemed to have taken effect immediately after the enactment of Pub. L. 107–251, see section 3 of Pub. L. 108–163, set out as a note under section 233 of this title.

Reference

Citations & Metadata

Citation

42 U.S.C. § 254c–16

Title 42 — The Public Health and Welfare

Last Updated

Apr 6, 2026

Release point: 119-73