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LB1016

Nebraska LB1016: Traditional Healing Services Demonstration Project

Last scannedAug 25, 2026, 3:18 AM

In one sentence

This bill requires the Nebraska Department of Health and Human Services to apply for federal approval by July 1, 2026, to test paying for traditional healing services under Medicaid.

What it does

  • Requires the department to submit a waiver application by July 1, 2026, to allow reimbursement for traditional healing services.
  • Mandates that the department consult with tribal nations and urban Indian organizations before applying and during implementation.
  • Defines traditional healing services as culturally grounded practices determined through consultation with tribes.
  • States that these new services must be voluntary and cannot replace existing covered medical care.
  • Requires an evaluation of how well the project improves health outcomes, access to care, utilization, and cost effectiveness.

Who it affects

  • The Nebraska Department of Health and Human Services
  • Medicaid beneficiaries in Nebraska
  • Tribal nations and urban Indian organizations
  • Providers who meet eligibility criteria set by the department

Limits and unknowns

  • The project cannot start until the federal Centers for Medicare and Medicaid Services approves the waiver application.
  • Specific details about which healing practices are covered depend on future rules created by the department.
  • If the department misses the July 1, 2026 deadline to apply, it must report reasons for the delay but is not automatically penalized.

Plain language

Terms to know

Demonstration project waiver
A special request to federal authorities for permission to test new rules or services under Medicaid.
Traditional healing services
Culturally grounded practices that support health and well-being, as defined by the department with tribal input.

Official record

Sources

Source attached

Official summary

Require the Department of Health and Human Services to submit a demonstration project waiver for traditional healing services

Official activity

Bill history

  1. Indefinitely postponed