Wisconsin Legislative Council
ACT MEMO
One Ea st Ma in Stre e t, Suite 401 • Ma dison, W I 53703 • (608) 266-1304 • le g.council@le gis.wisconsin.gov • http://www.le gis.wisconsin.gov/lc
Prepared by: Margit Kelley, Principal Attorney March 27, 2024
2023 Wisconsin Act 177
[2023 Assembly Bill 616]
Medicaid Coverage in
Institutions for Mental Disease
2023 Wisconsin Act 177 requires the Department of Health Services (DHS) to provide Medical
Assistance (MA) coverage for services provided to an adult age 21 to 64 in an institution for mental
disease, if any necessary waiver or approval is granted by the U.S. Department of Health and Human
Services. Prior law allowed, but did not require, MA coverage for services for adults in an institution for
mental disease.
The act requires DHS to submit a request for any necessary waiver or approval by January 1, 2025, in
order to provide the MA coverage for services during short-term stays for acute care in a psychiatric
hospital or residential treatment setting that qualifies as an institution for mental disease.
An “institution for mental disease” is defined in state and federal law as a hospital, nursing facility, or
other institution of more than 16 beds that is primarily engaged in providing diagnosis, treatment, or
care of persons with mental diseases.
Effective date: March 24, 2024
For a full history of the bill, visit the Legislature’s bill history page.
MSK:jal