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December 2016 Texas Medicaid Provider Procedures Manual

Behavioral Health, Rehabilitation, and Case Management Services Handbook : 6 Physician, Psychologist, and Licensed Psychological Associate (LPA) Providers : 6.16 Psychiatric Services for Hospitals : 6.16.3 Psychological and Neuropsychological Testing Services

Psychological (procedure code 96101) and neuropsychological (procedure code 96118) testing, when performed in an acute care hospital or in a freestanding or state psychiatric facility, does not require prior authorization; however, these facilities must maintain documentation that supports medical necessity for the testing and the testing results of any psychological or neuropsychological testing that are performed while the client is an inpatient. Psychological and neuropsychological testing services are diagnosis restricted.

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