H.R. 5944 — Restoring Inpatient Mental Health Access Act of 2025

This section eliminates the institutions for mental diseases (IMD) exclusion from the Medicaid definition of medical assistance by (1) striking the exclusion language from inpatient hospital services under paragraph (1), nursing facility services under paragraph (4)(A), and paragraph (15); (2) striking paragraph (14) in full; and (3) limiting a general IMD exclusion in flush subparagraph (B) to services furnished before January 1, 2027. It makes a conforming amendment to section 1915(l)(1) limiting associated IMD waiver authority to the period beginning October 1, 2019, and ending before January 1, 2027. The amendments apply to medical assistance furnished on or after January 1, 2027. As background, IMDs are facilities (other than inpatient psychiatric hospitals for individuals under age 21) with more than 16 beds primarily engaged in providing diagnosis, treatment, or care of persons with mental diseases, including psychiatric hospitals and certain nursing facilities; the IMD exclusion has barred federal Medicaid funding for most services provided therein to individuals ages 22 through 64 since 1965. (Thus, the section authorizes federal matching funds for Medicaid coverage of such services in IMDs for individuals of all ages.)