Thompson, Kelly Introduce Legislation to Incentivize Research into Mental Health
Today, Ways and Means Tax Subcommittee Ranking Member Rep. Mike Thompson (CA-04) and Chairman Rep. Mike Kelly (PA-16) introduced the Mental Health Research Accelerator Act to incentivize private companies, who have the resources to fund the research, to partner with academic or nonprofit research institutions on neurological and mental health research so that we can address the root causes of mental health issues.
“By investing in brain research, we can break massive barriers to the treatment of the causes of mental health, not just the treatment of symptoms. Many other problems that we deal with stem from mental illness: homelessness, alcohol and drug substance dependency, poor performance in the workplace, and more,” said Thompson. “There's not enough money just to fund dealing with the symptoms and that does not solve the problem. We need to get ahead of the curve and make investments in mental health research to find out what we can do to stop symptoms from surfacing. I am glad to work alongside Rep. Kelly to support this research and help to accelerate its progress."
"When it comes to addressing mental health access and care, we must utilize every tool in our toolbox," Rep. Kelly said. "This new legislation allows us to make America's tax system work for the American people by incentivizing research partnerships into brain health. I'm proud to work with my Ways and Means Committee colleague, Rep. Mike Thompson, on this vital legislation."
“My wife, Shari, and I are proud to support the Mental Health Research Acceleration Act. Having devoted the last 29 years to mental health research and advocacy, we are acutely aware of the need to stimulate a new and significant investment in neuroscience research. We have had only one new treatment for serious mental illness approved by the FDA in the last 20 years. Why? Addressing the world’s most important unmet medical need is an expensive process and many companies have chosen to direct their research funding to easier areas of research such as infectious disease, diabetics, stroke, and cancer. With 30% or more of America’s population suffering from some form a mental illness and an annual economic burden of more than $1 trillion, the legislation introduced by Reps. Thompson and Kelly is designed to provide a significant incentive to foster new public-private research consortiums that will lead to breakthroughs we desperately need," said Garen Staglin, Founder of the One Mind Foundation.
The Mental Health Research Accelerator Act provides $10 billion in allocable tax credits over a six-year period (from 2023-2028). The credits are available to nonprofits, state and local agencies, and private companies who collaborate on neurological research.
Because of the high cost of neurological research, and the challenges in producing market-viable products, there is not enough investment in cutting edge neurological research. The credit is capped at 25 percent of allowable expenses and is a competitive credit to be allocated based on merit, as determined by the Treasury Department. Any credits not allocated by the end of the window are simply deemed moot and returned to Treasury unless the credit is extended by Congress.