CHA News

CMS Announces New Medicaid Emergency Psychiatric Demonstration


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The Centers for Medicare & Medicaid Services (CMS) announced this week a new Medicaid Emergency Psychiatric Demonstration designed to provide states with more flexibility and resources to care for Medicaid beneficiaries with mental illnesses.

The demonstration provides up to $75 million in federal matching funds to states over three years, as authorized by the Affordable Care Act, to help care for Medicaid patients (ages 21 through 64) with psychiatric emergencies, in private inpatient psychiatric facilities with 17 or more beds.

CMS is now accepting applications from state Medicaid directors, and CHA will work with the state to prepare California’s application. States will be selected competitively based on their application proposals. Contact: Sheree Kruckenberg, (916) 552-7576,