MedicaidReimbursementMedium impact
Specialized Mental Health Rehabilitation Facility (SMHRF) Rate Change
Illinois Medicaid - HFS·IL · Psychiatry·Provider Notice
Effective date
Jul 1, 2024
We identified it
Jun 20, 2026
Summary
Effective July 1, 2024, Specialized Mental Health Rehabilitation Facilities (SMHRFs) in Illinois will have their payment rates reduced for 3-bed and 4-bed rooms by removing the previous 5% rate increase. Facilities will now have two separate rates: one for 1-2 bed rooms and a lower rate for 3-4 bed rooms.
Action Required
Immediately: Billing team must update rate schedules for Illinois Medicaid SMHRF claims to reflect the new two-tier rate structure. Download revised Medicaid Rate List from Illinois HFS Long Term Care page and update billing system with separate rates for 1-2 bed rooms versus 3-4 bed rooms. Verify all SMHRF claims billed after July 1, 2024 use the correct reduced rates for 3-4 bed rooms.