The Building Capacity for Care Act authorizes the Department of Health and Human Services to provide loans, loan guarantees, and grants to hospitals and treatment facilities for building, expanding, or improving mental health and substance use disorder treatment services. Eligible recipients include public and private hospitals, standalone treatment facilities, and health care alliances that serve children and adults, with priority given to rural areas and communities with high rates of overdose deaths or suicide. The bill sets aside $200 million annually for fiscal years 2025 through 2029 for both loans/guarantees and grants, requiring borrowers to contribute at least 25 percent of project costs from non-federal sources and capping loan terms at 20 years or 50 percent of the asset's useful life. The legislation also establishes a Mental Health and Substance Use Treatment Trust Fund to collect any surplus revenues from the loan program and directs those funds toward community mental health services.
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