Medicaid Emergency Psychiatric Demonstration

Federal Office: CMS

The Medicaid Emergency Psychiatric Demonstration, established under Section 2707 of the Affordable Care Act, will test whether Medicaid beneficiaries experiencing a psychiatric emergency receive immediate, appropriate care at institutions for mental disease (IMDs) when IMDs receive Medicaid reimbursement. The demonstration will reimburse inpatient psychiatric facilities for emergency care provided to Medicaid enrollees ages 21–64.

Funds:

$75 million over 3 years

Awardees:

The following states were selected through an independent panel selection process: Alabama, Illinois, North Carolina, California, Maine, Rhode Island, Connecticut, Maryland, Washington, District of Columbia, Missouri, and West Virginia.

Next Steps:

State Medicaid Directors were invited to submit proposals beginning on Aug. 9, 2011.

The selected states will provide Medicaid payment to private (non-government) psychiatric hospitals that are subject to the Emergency Medical Treatment and Labor Act (EMTALA) and have 17 or more inpatient beds for inpatient services provided to individuals 21-64 in need of acute psychiatric care. States are required to participate in an evaluation of whether Medicaid reimbursement for IMDs improves psychiatric care for people with mental illness and lowers state Medicaid program costs.

For more information, visit http://innovations.cms.gov/initiatives/medicaid-emergency-psychiatric-demo.