H.R. 10647 — IMD CARE Act

This section authorizes states, beginning January 1, 2027, to elect via state plan amendment to provide Medicaid coverage for items and services furnished to eligible individuals with serious mental illness who are patients in institutions for mental diseases, but only for up to 30 days (consecutive or non-consecutive) in any 12-month period. It conditions federal payments on states maintaining non-federal funding for specified outpatient and community-based mental health and substance use disorder services at fiscal year 2023 levels and implementing evidence-based placement criteria, utilization management, and transition planning to lower-intensity care.