Indiana Sought Residential Care for Disabled Adults
The state has requested proposals for a new 10-to-20-bed facility to address a gap in specialized care.
Updated on Sept. 24, 2026 in Special Needs
Live Poll
Should states prioritize funding home-based disability services over building new residential institutional facilities?
The Indiana Family and Social Services Administration has issued a request for proposals to operate a new short-term residential facility for adults with intellectual disabilities. This project aims to increase capacity and specialized treatment options for residents with complex behavioral, psychiatric, or medical needs.
Why it matters
The proposal aims to bridge a critical service gap for adults with high-risk needs following the closure of a previous co-ed facility in 2024. Expanding these resources is intended to provide a more standardized level of care for individuals who require intermediate residential support.
The state has formalized its search for a provider to manage a 10-to-20-bed intermediate care facility at a daily per diem rate of $703. While the initiative addresses current capacity shortages, the full impact remains dependent on identifying a qualified operator.
The players
Indiana Family and Social Services Administration
The state agency responsible for managing healthcare services and disability support programs for Indiana residents.
The details
The facility will operate as a secure campus-style environment featuring dedicated access to outdoor and recreational areas. It is designed to provide comprehensive intermediate-level care to adults who have recently faced limited options due to the closure of a co-ed facility in 2024 and current waiver denial trends.
Timeline
The previous co-ed residential facility closed in 2024.
The state issued the request for proposals on September 24, 2026.
Health Landscape
This initiative follows the recent implementation of interRAI assessments for Medicaid disability waivers across the state. It represents a significant shift toward standardized care as the state works to address the capacity constraints of its existing disability service system.
Families navigating the state disability waiver process should be aware that current approval trends are shifting due to new assessment protocols. If you are seeking specialized residential support, it is worth discussing the impact of these changes on waitlists and eligibility with a medical case manager.
The takeaway
The state is currently working to expand residential care capacity to support adults with complex psychiatric or medical needs. Families affected by current service gaps should stay informed about the state's procurement process and how it may broaden local treatment options in the future.
Further reading
For more on how state policy changes impact care access, explore our Special Needs section.
Live Poll
Should states prioritize funding home-based disability services over building new residential institutional facilities?
