Under IC 4-22-2-24, notice is hereby given that on June 25, 2009, at 1:30 p.m., at the Indiana Government Center South, 402 West Washington Street, Conference Center Room 20, Indianapolis, Indiana, the Office of the Children's Health Insurance Program will hold a public hearing on a proposed rule to amend 407 IAC 3-7-1 to remove limitations in the children's health insurance program (CHIP) for the coverage of inpatient mental health and substance abuse services not covered when provided in an institution for mental diseases with more than 16 beds, outpatient mental health and substance abuse services, and community mental health rehabilitation services (Medicaid rehabilitation option); amend 407 IAC 3-13-1 to remove limitations in CHIP coverage for case management services for mentally ill and emotionally disturbed individuals and services provided in inpatient mental health facilities (other than acute care hospitals) with more than 16 beds; and repeal 407 IAC 3-2.

To comply with the provisions of IC 4-22-2-24(d), the agency further states the following: This rule authorizes the Office of Medicaid Policy and Planning (OMPP) to expand mental health services for the CHIP II population to include Medicaid Rehabilitation Option (MRO) services, outpatient mental health and substance abuse services, and services provided by freestanding psychiatric hospitals with more than 16 beds. It will increase access to mental health services for the CHIP II population and will allow the state to receive federal match dollars for these services. The expansion of CHIP II mental health benefits is needed to increase access to pediatric mental health services. Current policy restricts the type of facility that can provide mental health services to the CHIP II population, which has created an access issue for members in need of these services. Additionally, members of the CHIP II population are currently not eligible to receive MRO services. Access to MRO services, as provided by this rule amendment, is vital to keep children with serious emotional disturbance in the community and out of institutions.

Copies of these rules are now on file at the Indiana Government Center South, 402 West Washington Street, Room W451 and Legislative Services Agency, One North Capitol, Suite 325, Indianapolis, Indiana and are open for public inspection.