IndianaSB 222Second Regular Session 124th General Assembly (2026)SenateWALLET

Family and social services administration matters.

Sponsored By: Ed Charbonneau (Republican)

Became Law

health and provider servicesthe housepublic health

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Bill Overview

Analyzed Economic Effects

32 provisions identified: 24 benefits, 2 costs, 6 mixed.

Standards for long-term care insurance

Beginning July 1, 2026, the Department of Insurance sets rules for what counts as a qualified long‑term care policy. Insurers must at least offer both nursing facility coverage and home and community care coverage. Insurers must also submit data the state needs to run the program.

State limits asking for Social Security numbers

Beginning July 1, 2026, most state agencies cannot force you to give your Social Security number. The law lists exceptions, including tax, workforce, child services, some licensing and pensions, and BMV and gaming applications. Outside these listed uses, agencies cannot compel your number.

Aging services move to new bureau

Beginning July 1, 2026, the Bureau of Better Aging runs many services, including home‑delivered meals, adult protective services, guardianship, and nutrition programs. Area agencies on aging must assess needs, plan services, provide case management, and run a toll‑free line the division pays for. An agency’s coverage area can change only after public hearings in each county and a one‑year wait. Dementia care specialists may use state training guidelines, and memory care providers must register with the bureau. Staff of the division or adult protective services who unlawfully disclose certain aging records commit a Class C infraction. The state moves aging rules into the new division’s title and repeals the old Division of Aging chapter. The bureau gives quarterly progress reports on disability task force work through December 31, 2027.

Better disability care and facility access

Beginning July 1, 2026, before discharge, patients with a primary developmental disability diagnosis are asked to allow their records to go to a service coordinator; with consent, full records are shared, and without consent only name and intended address are shared. Court commitments must include a suitability report and a treatment plan filed within 15 days. The state ties residential‑facility staffing limits to reimbursement rate‑setting and prioritizes new facilities in counties with the lowest 25% bed‑to‑population ratios, with public ads at least a month apart. State institutions must post a large notice explaining how to request the names of staff on duty and complaint numbers. Social services chiefs at institutions may apply for public assistance or arrange transfers for patients without a guardian or court order. The state may lease private buildings for residential autism facilities and sublease them to qualified operators.

Easier insurance for First Steps families

Beginning July 1, 2026, health plans that cover First Steps must pay the program a monthly fee instead of processing many claims. Payments to First Steps do not count against annual or lifetime limits. First Steps can pay required cost sharing for your child, and the plan must credit it. Once a doctor, APRN, or PA signs the child's IFSP, the plan cannot require prior authorization for services in that plan. The Department of Insurance enforces these rules.

Faster disability waivers and placement reviews

Beginning July 1, 2026, Medicaid waivers can give emergency placement priority if a primary caregiver dies, a caregiver is 80 or older, there is abuse or neglect, or other health or safety risks, and other supports are not enough. The division reports each quarter on emergency applications, services, and wait lists. If you request placement in a community residential facility, the division must provide a diagnostic evaluation and repeat it at least every 12 months, and the office uses it to decide if placement is appropriate. For certain programs, you count as a “person with a disability” only if you meet the division’s eligibility rules. The office and division must also sign an MOU to coordinate responsibilities, billing education, audits, and waiver applications for long‑term care services.

Higher pay rates for high-hour HCBS

For people getting more than 35 hours a week of home‑ and community‑based waiver services, the state raises reimbursement rates tied to the June 30, 2015 rate. The increase is 2.5% for the state fiscal year starting July 1, 2015 and 5% for the state fiscal year starting July 1, 2016.

Residential care help and $52 allowance

Starting July 1, 2026, you can get residential care help if you receive Medicaid or federal SSI and meet care needs for a residential setting (not a licensed health facility). People with an intellectual disability cannot be admitted under this section. You keep a $52 monthly personal allowance. You may keep an amount equal to your state and local income tax liability for the quarter, within the statute’s limits. Holocaust victim settlement payments do not count against your resources. If your income is below the allowance, the division may pay the difference.

Safer Medicaid drugs and school care

Starting July 1, 2026, the drug review board runs real‑time and after‑the‑fact checks on Medicaid prescriptions, approves pharmacist software, and sets clinical rules. It creates nonpunitive education and appeal processes and publishes an annual public report. Also, school nurses and other licensed clinicians working for Medicaid‑participating schools can be qualified providers for school services and presumptive eligibility checks.

Stronger 9-8-8 crisis response

Beginning July 1, 2026, the state coordinates certified mobile crisis teams for 9‑8‑8 calls. Teams include a certified peer and at least one clinical or emergency responder. A licensed clinician supervises care, and supervision can be remote. A “certified peer” is trained and certified by the state or an approved national body. Employees and volunteers at 9‑8‑8 centers and certified mobile teams are recognized as first responders.

Easier state hiring for disabled applicants

Beginning July 1, 2026, an Indiana rehabilitation facility or the disability and aging division can certify that a person with a disability has the skills to do a state job, with or without accommodation. A certified applicant may be appointed to that job classification.

More state aid for veteran students

When the state figures a veteran student’s need for state aid, it does not count benefits from the GI Bill and other federal veterans programs, federal rehabilitation programs run by the disability and aging division, or Social Security. State colleges also must exclude these. Ivy Tech and Vincennes may choose to exclude them too. This can raise a veteran student’s eligibility for need‑based state aid.

Medicaid pay while Medicare enrollment pending

A licensed home health agency enrolled in Medicaid and in good standing can keep serving Medicaid members and get paid while its Medicare enrollment is pending. This applies only if the agency applied to Medicare or started accreditation before April 1, 2026.

Old mental health rules stay

Beginning July 1, 2026, legacy mental health rules for developmental disabilities, case management, residential facilities, room and board help, and epilepsy services remain in effect until the new division replaces them. This helps avoid sudden service changes.

One state division for aging and disability

Beginning July 1, 2026, the state creates the Division of Disability, Aging, and Rehabilitative Services and the Bureau of Better Aging and In‑Home Services. The new division manages major programs and funds like Vocational Rehabilitation, the Social Services Block Grant, Medicaid waivers, IDEA Part C, and Older Americans Act programs. The law clarifies which bureau names apply in disability and aging statutes and updates the “Caretaker” definition cross‑reference. It sets which agency funds this chapter covers and requires a contract and budget approval for others. The aging board moves to 17 members with four‑year staggered terms, and the division of aging must provide staff support.

State dementia plan and local help

Starting July 1, 2026, the state creates a dementia plan to improve care, access, workforce, financing, awareness, and research. The state sends yearly reports to the legislature and may hire a dementia care coordinator who adds a yearly December 1 report. Area agencies on aging may name dementia care specialists to do education, training, outreach, and data work to support the plan.

Medicaid and CHIP drug list rules

Beginning July 1, 2026, Medicaid and CHIP use a preferred drug list (PDL). Drugs not on the PDL generally need prior authorization. The board reviews the list at least twice a year and must decide on new single‑source drugs within 60 days (another 60 days if data are lacking). The board may not leave a drug off the list only because of price. The state office and the DUR board can add FDA‑approved drugs to the PDL to speed access.

Stronger hospital rules for temp Medicaid

Starting July 1, 2026, when a hospital gives you presumptive Medicaid eligibility, it must tell the state within five business days and help you file a full application. The hospital must give a plain‑language notice that temporary coverage ends if no full application is filed by the last day of the next month, and that coverage continues while your full application is pending. The state sets standards and an appeals process, and checks if timing and filing rules were met and if applicants were later found eligible. First violations get a written notice within five days. A second violation in 12 months requires mandatory training, and a third in 12 months removes the hospital’s ability to make presumptive decisions.

More frequent probation officer exams

Beginning July 1, 2026, the written exam for probation officer appointments is offered at least once every other month. The board sets minimum standards and gets recommendations before setting qualifications and passing scores.

Who counts as a governmental employee

The law expands who counts as a governmental employee in Family and Social Services offices, divisions, and for Department of Child Services staff doing DCS duties. This can change which protections or benefits apply to you.

Micro child care waivers extended

Beginning July 1, 2026, waivers for micro facilities end on the earlier of the office’s chosen date or December 31, 2027. The chapter covering these micro facilities now expires January 1, 2028. This keeps current rules in place longer for small providers and families.

Faster population count notices to agencies

Beginning July 1, 2026, the Governor sends the executive order on official population counts to the State Library, the election division, and the Indiana Register. The State Library notifies state agencies that use population counts about the effective date of the new tabulation. Agencies named include the state comptroller, state revenue, economic development, alcohol and tobacco, the state board of accounts, Ivy Tech’s board, and the disability, aging, and rehabilitative services division.

Stronger reporting for endangered adults

Beginning July 1, 2026, if you believe an endangered adult or a person with a disability is being abused, you must report it to the listed agencies or police. Knowingly failing to report is a Class B misdemeanor. Employers may not retaliate against someone who reports in good faith; retaliation is a Class A infraction. Police must immediately send such reports to adult protective services.

Who qualifies as community disability center

Effective July 1, 2026, centers must be approved by the disability and aging division and accredited by CARF, CQL, JCAHO, NCQA, or another national accreditor the secretary approves. The law also lists which types of organizations may operate these centers.

Volunteer status and medical benefits defined

Beginning July 1, 2026, a volunteer worker is an unpaid person approved by the disability and aging division or the mental health division to serve a state institution. Volunteer services are treated as governmental services. Approved volunteers are subject to the medical benefits described in the chapter.

Who can finance health facilities

Beginning July 1, 2026, the law updates who counts as a “participating provider” for health facility financing. In‑state and some out‑of‑state entities can qualify if the financing substantially benefits Indiana facilities. The statute lists license types, system affiliations, and ownership conditions that allow participation.

Property tax deduction rules phase out

Effective July 1, 2026, the deduction rules in this section apply only to assessments before January 1, 2025. The section ends January 1, 2027. To claim it, file with the county auditor by January 15 of the first tax‑due year, and include required proof (such as proof of blindness, if applicable).

Workers’ comp reports to Rehab Services

If a compensable injury requires a first report of injury, the employer’s carrier or a self‑insured employer must send a copy to the Rehabilitation Services Bureau. Send it when the worker is off more than 21 days or when it appears the worker cannot return to the old job.

New deadlines and limits for coroner info

Beginning July 1, 2026, a coroner must finish required public disclosures within 14 days after the last report in the case is complete. A prosecutor can ask a court to bar public release if sharing would significantly harm a criminal investigation; the coroner must keep it confidential until the court rules. A coroner must give certain division directors a full autopsy report (no photos or recordings) on written request for a death review of a person who received division services.

New rules for autopsy and death records

From July 1, 2026, a coroner must give a full autopsy report (no photos or recordings) to a parent, adult child, next of kin, or an insurer that asks in writing. Basic death facts become public when a coroner investigates a death, including the name, age, and basic autopsy conclusions. If a coroner gets police investigatory records, they must keep them as confidential as the police. For child, fetal/infant, or maternal death reviews, the coroner must share full autopsy materials, including photos, video, and audio; these remain confidential.

Tighter rules for diversion program funds

Beginning July 1, 2026, local governments may spend money from deferral or pretrial diversion programs only by passing an ordinance. Spending is limited to set purposes like prosecutor and law enforcement training, victim help, prosecution costs, crime‑prevention programs, and certified evidence‑based mental health and addiction treatment. Use must follow guidelines from the Prosecuting Attorneys Council.

Notice rules for Medicaid audits

Beginning July 1, 2026, Medicaid must give notice for reimbursement and audit orders. Orders take effect 15 days after service unless the order says otherwise. Hospitals and providers can ask for a preliminary hearing and seek a stay while appealing.

Sponsors & Cosponsors

Sponsor

  • Ed Charbonneau

    Republican • Senate

Cosponsors

  • Brad Barrett

    Republican • House

  • Justin Busch

    Republican • Senate

  • Lonnie Randolph

    Democratic • Senate

  • Michael Crider

    Republican • Senate

Roll Call Votes

All Roll Calls

Yes: 184 • No: 3

Senate vote 2/25/2026

Roll Call 282 on SB0222.03.COMH.CON01

Yes: 45 • No: 2 • Other: 2

House vote 2/9/2026

Roll Call 209 on SB0222.03.COMH

Yes: 95 • No: 0

Senate vote 1/22/2026

Roll Call 57 on SB0222.02.COMS

Yes: 44 • No: 1 • Other: 2

Actions Timeline

  1. Public Law 122

    3/5/2026Senate
  2. Signed by the Governor

    3/5/2026Senate
  3. Signed by the Speaker

    2/27/2026House
  4. Signed by the President Pro Tempore

    2/27/2026Senate
  5. Signed by the President of the Senate

    2/27/2026Senate
  6. Senate concurred with House amendments; Roll Call 282: yeas 45, nays 2

    2/25/2026Senate
  7. Motion to concur filed

    2/16/2026Senate
  8. Returned to the Senate with amendments

    2/10/2026House
  9. Third reading: passed; Roll Call 209: yeas 95, nays 0

    2/9/2026House
  10. Second reading: ordered engrossed

    2/5/2026House
  11. Committee report: amend do pass, adopted

    2/3/2026House
  12. First reading: referred to Committee on Public Health

    1/28/2026House
  13. Referred to the House

    1/23/2026Senate
  14. Third reading: passed; Roll Call 57: yeas 44, nays 1

    1/22/2026Senate
  15. House sponsor: Representative Barrett

    1/22/2026Senate
  16. Senator Randolph added as coauthor

    1/22/2026Senate
  17. Senator Busch added as second author

    1/22/2026Senate
  18. Second reading: ordered engrossed

    1/20/2026Senate
  19. Senator Crider added as third author

    1/20/2026Senate
  20. Committee report: amend do pass, adopted

    1/15/2026Senate
  21. First reading: referred to Committee on Health and Provider Services

    1/8/2026Senate
  22. Authored by Senator Charbonneau

    1/8/2026Senate

Bill Text

  • Enrolled Senate Bill (S)

  • Introduced Senate Bill (S)

  • Senate Bill (H)

  • Senate Bill (S)

Related Bills

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