Innovation in Behavioral Health (IBH) Model

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The Innovation in Behavioral Health (IBH) Model (the “Model”) is an eight-year, voluntary service delivery and payment model promoting integrated care in behavioral health (BH) settings. The IBH Model will test the impact of a value-based payment (VBP) model aligned across Medicaid and Medicare that supports an integrated care delivery framework in specialty BH organizations and settings for adult Medicaid, Medicare, and dually eligible beneficiaries with moderate to severe mental health conditions and/or substance use disorders (SUDs). The Centers for Medicare & Medicaid Services (CMS), through its Center for Medicare & Medicaid Innovation (Innovation Center), will select up to eight state Medicaid agencies (SMAs) to participate in the Model. Implementation will begin in January 2025 and end in December 2032. The Model will have an eight-year performance period, which will be comprised of a three-year Pre-Implementation Period along with a five-year Implementation Period. Up to $7.5 million dollars in cooperative agreement award funding will be available to each selected Recipient over the course of the eight years.