MedicaidAdministrativeLow impact
Facility Closure – Federal and State Requirements
Illinois Medicaid - HFS·IL · Psychiatry·Provider Notice
Effective date
Jan 22, 2015
We identified it
Jun 20, 2026
Summary
Illinois healthcare facilities transitioning from IMD facilities to Specialized Mental Health Rehabilitation Facilities must comply with specific federal and state closure requirements, including 60-day advance notice and approved resident transfer plans. This policy outlines mandatory closure procedures for facilities withdrawing from Medicaid certification.
Action Required
No immediate action required for most billing teams. Only facilities operating as Institution for Mental Disease (IMD) facilities in Illinois seeking to transition to Specialized Mental Health Rehabilitation Facility status need to ensure compliance with closure requirements including 60-day advance notice to IDPH and approved resident transfer plans before provisional licensing.