MedicaidReimbursementMedium impact
Fiscal Year 2024 Rate Rebasing for Residential Treatment Centers
Maryland Medicaid·MD · Psychiatry·Provider Transmittal
Effective date
Sep 1, 2023
We identified it
Jun 20, 2026
Summary
Maryland Department of Health is rebasing Fiscal Year 2024 interim rates for Residential Treatment Centers (RTCs) effective September 1, 2023, based on FY21 cost reports. Facilities will receive new interim rate letters via email, and the FY21 final cost rate becomes the new base year amount for cost settlement purposes effective July 1, 2023. This affects reimbursement calculations for RTC services in Maryland.
Action Required
By September 1, 2023: Billing team must receive and implement updated interim rate letters from MDH Behavioral Health Division. Update billing system rate tables to reflect new FY2024 interim rates. Verify that cost settlement calculations use FY21 final cost rate as the new base year (effective July 1, 2023). Contact mdh.bhenrollment@maryland.gov if rate letter is not received. Ensure all billing staff and providers are informed of the rate changes per the transmittal requirement.