The Biden administration has launched a new initiative focused on building a multi-state social worker licensure compact.

The grant program could help boost behavioral health access by reducing the application burden for social workers. This could be key as the behavioral health industry faces a notoriously tight labor market.

State licensure compacts allow providers to practice in other states without applying for a license in each state. Instead, states collaborate to create a common approach to licensure standards and qualifications. The grant investment for the program is $2.5 million.

“Anything that increases flexibility and provider capacity is a positive move,” Stacy DiStefano, CEO of Consulting for Human Services, told Behavioral Health Business in an email. “This is just one sector of clinicians and I’m hoping to see national reciprocity across all types of professionals.”

A multi-state compact could also help clinicians utilize telehealth and care for patients in different states. The Health Resources and Services Administration (HRSA), which will spearhead this program, said the initiative could also help improve hiring practices for behavioral health providers.

“Social workers are on the frontlines in responding to the Administration’s priorities, including meeting children’s mental health needs, responding to the opioid epidemic, and addressing maternal depression,” HRSA Administrator Carole Johnson said in a statement. “Today’s announcement is a critical step in helping social workers serve people in need, particularly in rural and underserved communities across the country.”

HRSA has already invested in several behavioral health initiatives, including the Interstate Medical Licensing Compact and the Psychology Interjurisdictional Compact, which operate in 40 states and Washington, D.C.

While industry insiders are optimistic about potential impacts, there are still questions about the rollout. DiStefano noted that she’d like to see some type of incentive for states to participate.