HB 1974 — An Act amending the act of April 9, 1929 (P.L.177, No.175), known as The Administrative Code of 1929, in powers and duties of the Department of Drug and Alcohol Programs, establishing the Contingency Management Support Grant Program.

PRINTER'S NO.   2493

                     THE GENERAL ASSEMBLY OF PENNSYLVANIA



                         HOUSE BILL
                         No. 1974
                                               Session of
                                                 2025

     INTRODUCED BY VENKAT, FLICK, HILL-EVANS, SANCHEZ, K.HARRIS,
        FLEMING, CIRESI, KINKEAD, CEPEDA-FREYTIZ, CURRY, RIVERA,
        STEELE AND MADDEN, OCTOBER 21, 2025

     REFERRED TO COMMITTEE ON HUMAN SERVICES, OCTOBER 21, 2025


                                    AN ACT
 1   Amending the act of April 9, 1929 (P.L.177, No.175), entitled
 2      "An act providing for and reorganizing the conduct of the
 3      executive and administrative work of the Commonwealth by the
 4      Executive Department thereof and the administrative
 5      departments, boards, commissions, and officers thereof,
 6      including the boards of trustees of State Normal Schools, or
 7      Teachers Colleges; abolishing, creating, reorganizing or
 8      authorizing the reorganization of certain administrative
 9      departments, boards, and commissions; defining the powers and
10      duties of the Governor and other executive and administrative
11      officers, and of the several administrative departments,
12      boards, commissions, and officers; fixing the salaries of the
13      Governor, Lieutenant Governor, and certain other executive
14      and administrative officers; providing for the appointment of
15      certain administrative officers, and of all deputies and
16      other assistants and employes in certain departments, boards,
17      and commissions; providing for judicial administration; and
18      prescribing the manner in which the number and compensation
19      of the deputies and all other assistants and employes of
20      certain departments, boards and commissions shall be
21      determined," in powers and duties of the Department of Drug
22      and Alcohol Programs, establishing the Contingency Management
23      Support Grant Program.
24      The General Assembly of the Commonwealth of Pennsylvania
25   hereby enacts as follows:
26      Section 1.    Article XXIII-A of the act of April 9, 1929
27   (P.L.177, No.175), known as The Administrative Code of 1929, is
28   amended by adding a subarticle to read:
 1                                SUBARTICLE C
 2                CONTINGENCY MANAGEMENT SUPPORT GRANT PROGRAM
 3   Section 2321-A.    Definitions.
 4      The following words and phrases when used in this subarticle
 5   shall have the meanings given to them in this section unless the
 6   context clearly indicates otherwise:
 7      "ASAM Criteria."    The American Society of Addiction Medicine
 8   Criteria, 3rd Edition, 2013.
 9      "Department."    The Department of Drug and Alcohol Programs of
10   the Commonwealth.
11      "Grant."    A grant awarded by the department under the
12   program.
13      "Grantee."     The single county authority that receives a grant
14   from the department.
15      "Incentive."     A noncash item of nominal value provided to a
16   participant only upon objective verification that a treatment
17   goal under a contingency management plan has been met. The term
18   includes a gift card or voucher that is nontransferable, not
19   convertible to cash and not redeemable for alcohol, tobacco or
20   gambling.
21      "Participant."    An individual enrolled in outpatient,
22   intensive outpatient, partial hospitalization or narcotic
23   treatment program services who has been clinically assessed as
24   having a stimulant use disorder under the ASAM Criteria.
25      "Program."     The Contingency Management Support Grant Program
26   established under section 2322-A.
27      "Single county authority."      The county agency that the
28   department designates as the local drug and alcohol agency.
29   Section 2322-A.    Establishment and administration of program.
30      (a)     Establishment.--The Contingency Management Support Grant

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 1   Program is established in the department to support single
 2   county authorities in designing, implementing, expanding and
 3   evaluating evidence-based contingency management strategies for
 4   participants with stimulant use disorder.
 5      (b)   Administration.--The department shall develop, announce,
 6   award and administer grants and provide technical assistance on
 7   program design, fidelity and evaluation.
 8   Section 2323-A.    Applicants and selection process.
 9      (a)   Applicants.--A single county authority may apply for a
10   grant individually or in collaboration with one or more
11   providers:
12            (1)   licensed to provide drug and alcohol treatment
13      services in this Commonwealth; and
14            (2)   located within the county's jurisdiction.
15      (b)   Selection.--The department shall publish application
16   procedures and selection criteria on the department's publicly
17   accessible Internet website.
18   Section 2324-A.    Allowable uses of grants.
19      Grants may be used for any of the following:
20            (1)   Planning and implementing, including staff training,
21      drug-testing supplies, secure incentive-tracking systems and
22      reasonable administrative costs necessary for program
23      delivery.
24            (2)   Noncash incentives for participants, not to exceed
25      $750 per participant in a 12-month period during the
26      contingency management treatment phase. Incentives shall
27      consist only of small-value, noncash items such as gift
28      cards, food vouchers, transit or transportation vouchers or
29      other items the department approves.
30            (3)   Technical assistance and fidelity support, including

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 1      the implementation of incentive-tracking systems and the
 2      development of policies and procedures.
 3            (4)   Program evaluation and reporting.
 4            (5)   Outreach and engagement, including participant
 5      education and referral coordination.
 6   Section 2325-A.    Prohibited uses of funds.
 7      (a)   Supplanting.--Grants shall supplement and not supplant
 8   existing substance use disorder treatment or other health care
 9   services.
10      (b)   Other prohibitions.--Grants may not be used for any of
11   the following:
12            (1)   Services otherwise reimbursable by Medicaid or a
13      participant's insurer.
14            (2)   Cash or cash-equivalent incentives, or any incentive
15      redeemable for alcohol, tobacco or gambling.
16            (3)   Incentives used to steer a participant to a
17      particular provider, payer or product.
18   Section 2326-A.    Program requirements.
19      An initiative supported by the program shall meet all of the
20   following criteria:
21            (1)   Be delivered in outpatient or similar nonresidential
22      settings and provided in conjunction with other evidence-
23      based treatment and recovery support services for substance
24      use disorder, as clinically appropriate.
25            (2)   Provide a structured schedule of incentives awarded
26      only upon objective verification of treatment goals, which
27      may include stimulant-negative test results verified by urine
28      testing or another objective test the department approves and
29      documented attendance at counseling or therapy sessions.
30            (3)   Provide at least three months of continued treatment

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 1      and recovery support services after the incentive phase
 2      during which no incentives are provided.
 3            (4)   Ensure a participant is not penalized for declining
 4      to participate in a recommended service or for failing to
 5      meet a treatment goal.
 6            (5)   Limit incentives to an aggregate value not exceeding
 7      $750 for any participant in a 12-month period during the
 8      contingency management treatment phase.
 9            (6)   Align service delivery conditions with the ASAM
10      Criteria.
11   Section 2327-A.    Participant eligibility and consent.
12      A participant shall:
13            (1)   receive a clinical assessment and a determination of
14      stimulant use disorder in accordance with the ASAM Criteria;
15            (2)   be enrolled in outpatient, intensive outpatient,
16      partial hospitalization or narcotic treatment program
17      services;
18            (3)   provide a stimulant-negative urine drug test or
19      another objective test the department approves prior to
20      receiving an incentive; and
21            (4)   provide informed consent that explains program
22      goals, incentive conditions, privacy protections and
23      grievance procedures.
24   Section 2328-A.    Program integrity and privacy.
25      (a)   Policies.--A grantee shall adopt written policies to
26   prevent fraud, diversion and duplication of incentives and to
27   prohibit steering or inducement regarding the choice of
28   provider, payer or product.
29      (b)   Tracking.--A grantee shall use an auditable system to
30   track incentives and maintain controls over inventory, issuance

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 1   and reconciliation.
 2      (c)   Training.--A grantee shall ensure that staff receive
 3   initial and periodic training on contingency management
 4   principles, ethics and fidelity.
 5      (d)   Privacy.--A grantee shall obtain and maintain
 6   participant consents and protect participant information
 7   consistent with Federal and State law, including 42 CFR Pt. 2
 8   (relating to confidentiality of substance use disorder patient
 9   records) and 45 CFR Pt. 164 (relating to security and privacy),
10   as applicable.
11   Section 2329-A.    Applications.
12      A prospective grantee must submit an application for a grant
13   to the department in a form and manner specified by the
14   department under section 2323-A(b). The application shall
15   include all of the following information:
16            (1)   A work plan describing the contingency management
17      model, target population, service setting, staffing and
18      fidelity plan.
19            (2)   A budget, including the incentive plan and tracking
20      systems.
21            (3)   A monitoring and evaluation plan, including outcome
22      metrics, data collection and data-privacy safeguards.
23   Section 2330-A.    Reporting and evaluation.
24      (a)   Grantee reports.--A grantee shall report outcomes and
25   expenditures to the department in the form and frequency as
26   determined by the department.
27      (b)   Department reporting.--The department shall include the
28   following information in the annual report required under
29   section 2301-A(7)(i), which may not include personally
30   identifiable information of participants:

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 1            (1)   Grants awarded and geographic distribution.
 2            (2)   The number of participants served.
 3            (3)   A review of information reported by single county
 4      authorities, including outcomes, participant engagement,
 5      retention and continuing care.
 6            (4)   Findings and recommendations for program
 7      improvement.
 8      (c)   Evaluation criteria.--The department shall establish
 9   evaluation criteria, including outcomes related to stimulant
10   abstinence, treatment retention and program fidelity.
11   Section 2331-A.    Funding.
12      Subject to the availability of Federal funds, Federal State
13   Opioid Response grant funds appropriated by the General Assembly
14   shall be the primary source of funding for the purposes of this
15   subarticle. The following shall apply:
16            (1)   If Federal funds are insufficient or unavailable,
17      the department may use other money appropriated by the
18      General Assembly.
19            (2)   The department may use a portion of any money
20      allocated for the program for Statewide technical assistance,
21      fidelity support and evaluation.
22   Section 2332-A.    Guidelines and regulations.
23      The department shall issue guidelines and may promulgate
24   regulations as necessary to implement this subarticle.
25   Section 2333-A.    Construction.
26      Nothing in this subarticle shall be construed to require
27   participation by a provider or a participant or to alter a
28   requirement under Federal or State law governing
29   confidentiality, professional licensure or payer coverage.
30      Section 2.     This act shall take effect in 60 days.

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