The bill mandates the Iowa Department of Health and Human Services to double the number of inpatient psychiatric beds at each state mental health institute by July 1, 2027, using the number of beds available on June 30, 2025, as a baseline. Additionally, the department is required to apply for a waiver from the Centers for Medicare and Medicaid Services by October 1, 2026, to allow the state to utilize Medicaid funds for the expansion of these beds.

This legislative action aims to address the growing need for mental health services by increasing the capacity of state mental health facilities. The requirement for a waiver is crucial as it seeks to ensure that the funding necessary for this expansion can be accessed through Medicaid, thereby enhancing the state's ability to provide adequate mental health care.