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The Recovery Act amends Medicaid and the Children's Health Insurance Program (CHIP) to allow states to provide medical assistance for individuals under 65 with substance use disorders who are patients in institutions for mental diseases. The bill establishes a temporary enhanced federal matching rate of 90 percent for the first five years and authorizes up to $25 million in planning grants to help states develop and implement this option. Coverage is limited to the period of medical necessity as determined by evidence-based criteria and redetermined at least every 30 days.
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