AI & Psychosis, New Therapy Laws, and a Crisis Center Breakthrough

Each week brings new conversations about mental health, technology, and care. Between Sessions gathers what's worth your attention - so you can stay informed without adding to your workload.

Cuyahoga County, Ohio secured a funding agreement this week to move forward with a $28 million walk-in behavioral health crisis center, expected to open in fall 2026 and serve 17,000 people a year who currently have nowhere to go but an emergency room.

👉 Why it matters: The center reflects a national shift toward community crisis stabilization - reducing ER visits and law enforcement involvement - and is central to how the 988 system is designed to work.

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The Consolidated Appropriations Act of 2026 extended key behavioral health telehealth protections through December 31, 2027: patients can receive care from home, there are no geographic restrictions, and audio-only sessions are allowed when patients cannot use or decline video. 

👉 Why it matters: For Medicare clients with transportation or technology barriers, these protections are not going away - and the 2027 horizon gives practices time to build compliant workflows.

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A Lancet Psychiatry review analyzed 20 reports of AI-associated delusions, finding that conversational AI can validate or amplify delusional content in people already vulnerable to psychosis.

👉 Why it matters: For clients with psychosis risk histories, this is a prompt to start asking about chatbot use: how often, how long, and what they're discussing.

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Four states moved forward with AI therapy legislation last week: Washington's chatbot safety bill passed the Senate 43-5; New York advanced a bill holding chatbots liable for impersonating licensed professionals; Minnesota introduced bills regulating AI in psychotherapy; and Colorado advanced two healthcare AI bills.

👉 Why it matters: Each state is writing its own rules and they don't align - practices serving clients across state lines may already face overlapping compliance obligations.

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Google's March 2026 core update is mid-rollout, with over half of tracked sites already seeing ranking shifts - health and wellness content hit hardest. The update rewards demonstrated author credentials and penalizes pages that don't show who wrote them and why they're qualified.

👉 Why it matters: Add a visible author bio with your license number, credentials, and specialties to every service page. Google is checking that expertise is demonstrated, not just claimed.

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A GPB report published March 12 explains why clients can't find in-network therapists: unenforced parity laws let insurers maintain thin networks, pushing clinicians out over stagnant reimbursement and rising admin burdens. Georgia's Insurance Commissioner issued nearly $25 million in parity fines to 11 insurers this year.

👉 Why it matters: Parity enforcement is moving from legislation to consequences - practices that stay in-network may gain leverage in reimbursement negotiations as scrutiny grows.

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"Prior Auth Parasite," a poem by Richard Berlin, MD in Psychiatric Times (March 6) - from a psychiatrist who has written about clinical life monthly for 28 years - captures the indignity of administrative friction better than any op-ed could. Two minutes to read.

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This week, Berries shared two resources for your practice and wellbeing.

Podcast: Porter Charles, LICSW, walks through using AI in transplant social work and private practice - handling formal letters, multilingual guides, and documentation without replacing clinical judgment. Thirty grounded minutes.

→ Listen to our podcast

Meditation: If this week left you carrying something - Julie Ela Grace recorded a 10-minute guided meditation for mental health professionals on holding the weight of this work without bringing it home.

→ Try our meditation

The fact that regulators, researchers, legislators, and insurance commissioners are all doing their jobs more visibly this week is, in its own way, a sign that the work you do - grounded in relationship, judgment, and presence - remains irreplaceable.

As always, thank you for your truly important work.

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This newsletter is intended for informational and educational purposes only. It does not constitute clinical, legal, or regulatory guidance. Clinicians should rely on their professional judgment and applicable standards of care when integrating any technology into practice.