H.R. 5662 — Improving Access to Institutional Mental Health Care Act

This section removes the exclusion of items and services furnished in institutions for mental diseases (IMDs, i.e., facilities primarily engaged in providing psychiatric diagnosis, treatment, or care of persons with mental diseases, including psychiatric hospitals) from the definition of medical assistance under Medicaid. (As background, this longstanding IMD exclusion currently bars federal Medicaid funding for most services provided to individuals ages 21-64 in IMDs with more than 16 beds, while permitting funding for those under 21 and 65 or older.) It makes conforming amendments to related state plan requirements and provisions—specifically, paragraphs (20) and (21) of section 1902(a), section 1905(a)(14), and section 1919(e)(7)(B)(i)(I)—by striking all references to "65 years of age or older" or "65 years of age or over" to permit such medical assistance for IMD patients under 65 years of age. The amendments take effect October 1, 2025, and apply to items and services furnished on or after such date.