NAICS 623220 - Residential Mental Health and Substance Abuse Facilities
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What is NAICS 623220
NAICS code 623220 covers establishments primarily engaged in providing residential care and treatment for individuals with mental health disorders and substance abuse issues. These facilities offer a supportive living environment that includes room, board, supervision, counseling, and various social services aimed at mental rehabilitation and recovery. While some medical services may be available, the main focus is on counseling and support rather than primary medical care. Businesses operating in this sector include rehabilitation centers, halfway houses, and residential group homes dedicated to mental health and substance abuse recovery. Government agencies contract for these services to address public health needs, reduce homelessness, and support reintegration of affected individuals into society.
Industry Classification for NAICS 623220
This industry comprises establishments primarily engaged in providing residential care and treatment for patients with mental health and substance abuse illnesses. These establishments provide room, board, supervision, and counseling services. Although medical services may be available at these establishments, they are incidental to the counseling, mental rehabilitation, and support services offered. These establishments generally provide a wide range of social services in addition to counseling.
Illustrative Examples:
- Alcoholism or drug addiction rehabilitation
- facilities (except licensed hospitals)
- Psychiatric convalescent homes or hospitals
- Mental health halfway houses
- Residential group homes for the emotionally disturbed
Breakdown for NAICS 623220
- Establishments provide residential care focused on mental health and substance abuse rehabilitation.
- Services include room, board, supervision, counseling, and social support rather than primary medical care.
- Typical facilities include rehabilitation centers, halfway houses, and group homes for the emotionally disturbed.
- Government contracts support public health, criminal justice, and social welfare objectives.
- Contracting involves varied procurement methods and performance-based service delivery.
- The sector is expanding with increased government funding and emphasis on integrated behavioral health care.
Included Activities for NAICS 623220
- Providing residential counseling and therapy for mental health patients.
- Operating substance abuse rehabilitation programs with structured living environments.
- Offering supervision and support services to promote patient recovery and social reintegration.
- Delivering group home services for emotionally disturbed individuals.
- Coordinating social services and mental rehabilitation programs.
- Monitoring patient progress and adjusting treatment plans accordingly.
- Collaborating with government agencies to meet contractual performance standards.
- Maintaining compliance with applicable health and safety regulations.
Business Types for NAICS 623220
- Alcoholism and drug addiction rehabilitation centers
- Psychiatric convalescent homes and hospitals
- Mental health halfway houses
- Residential group homes for emotionally disturbed individuals
- Nonprofit behavioral health service providers
- Private mental health treatment facilities
Subcategories for NAICS 623220
- Alcoholism rehabilitation facilities (except licensed hospitals), residential
- Convalescent homes or hospitals for psychiatric patients
- Drug addiction rehabilitation facilities (except licensed hospitals), residential
- Halfway houses for patients with mental health illnesses
- Halfway houses, substance abuse (e.g., alcoholism, drug addiction)
- Homes for emotionally disturbed adults or children
- Homes, psychiatric convalescent
- Hospitals, psychiatric convalescent
- Mental health facilities, residential
- Mental health halfway houses
- Psychiatric convalescent homes or hospitals
- Residential group homes for the emotionally disturbed
- Substance abuse (i.e., alcoholism, drug addiction) halfway houses
- Substance abuse facilities, residential
Government Buyers for NAICS 623220
Government buyers for services under NAICS 623220 typically include departments of health and human services, veterans affairs, corrections departments, and social welfare agencies. These agencies require residential mental health and substance abuse facilities to provide structured treatment programs, reduce recidivism among offenders with behavioral health conditions, and support vulnerable populations such as veterans and low-income individuals. Procurement of these services helps governments fulfill mandates related to public health, social services, and criminal justice reform.
Contract Types & Procurement for NAICS 623220
Contracts in this sector often include fixed-price service agreements, indefinite delivery/indefinite quantity (IDIQ) contracts, and grants. Procurement methods commonly involve competitive bidding, requests for proposals (RFPs), and sole-source contracts in specialized cases. Contract values vary widely depending on the scope and duration of services, ranging from small community-based program funding to multi-million dollar contracts for large residential treatment facilities. Performance-based contracting is also prevalent to ensure measurable outcomes in patient care and rehabilitation.
Details for NAICS 623220
Explore the hierarchy and related codes for this industry
| NAICS Code | Industry Title |
|---|---|
| 623210 | Residential Intellectual and Developmental Disability Facilities |
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