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House concurs with Senate changes to subacute mental-health bill; directs DHHS review and report
Summary
The House concurred with Senate amendments to House File 2543, removing a private-insurance mandate, tightening prior-authorization timelines and directing the Department of Health and Human Services to review capacity for subacute mental-health services and report by Jan. 4, 2027; the bill passed 90-0 on final reading.
The Iowa House on final passage agreed to Senate amendments to House File 2543, a bill that sets policy for subacute mental-health facilities and services, and instructed the Department of Health and Human Services (DHHS) to evaluate the state's capacity to establish subacute services.
Representative Webster, speaking on the Senate amendment, said the returning amendment "strikes the insurance portion of the House bill" so private insurance is not required to pay and tightens prior-authorization timelines under Medicaid. The amendment also requires DHHS to begin reviewing the state's capacity to establish subacute mental-health services and additional inpatient services at Independence beginning in July 2027; the review must include costs, staffing and infrastructure and explore partnerships with private operators. DHHS must report to the chairs of the HHS and appropriations committees by Jan. 4, 2027.
Representative Wojciech Cazell, who said he preferred the House's original version but recognized a need to compromise, recommended a yes vote. Representative Webster also said providers and private insurers would be monitored over the interim and changes would be made if commitments were not kept.
The House concurred in Senate Amendment H8281, placed House File 2543 on final passage and approved the bill unanimously; the clerk reported 90 ayes, 0 nays and 10 absent or not voting. The bill includes a provision allowing DHHS to provide subacute beds at Independence MHI if it can be done within the appropriation.
The measure will return to the enrolling process and the relevant state agencies will carry out the review and reporting duties specified in the amendment.
