SPECIALIZED THERAPIES SERVICES PROVIDER IN ILLINOIS
- Fatumata Kaba
- Jul 18
- 4 min read
SUPPORTING RECOVERY, FUNCTIONAL IMPROVEMENT, AND INDEPENDENT LIVING THROUGH THERAPEUTIC INTERVENTIONS
Specialized Therapies Services in Illinois provide habilitative, rehabilitative, and restorative therapy to individuals with developmental disabilities, brain injuries, physical impairments, and chronic conditions. These services are authorized under Illinois Medicaid Home and Community-Based Services (HCBS) Waiver programs and the Medicaid State Plan to promote functional gains, health improvement, and greater community participation.
1. GOVERNING AGENCIES
Agency: Illinois Department of Healthcare and Family Services (HFS)
Role: Administers Medicaid funding for Specialized Therapies, oversees provider enrollment, service authorization, and reimbursement
Agency: Illinois Department of Human Services (DHS) — Division of Developmental Disabilities (DDD) and Division of Rehabilitation Services (DRS)
Role: Coordinates eligibility, care planning, therapy approvals, and quality assurance for waiver participants
Agency: Centers for Medicare & Medicaid Services (CMS)
Role: Provides federal oversight ensuring Specialized Therapies meet Medicaid HCBS quality standards, person-centered care requirements, and habilitative/rehabilitative definitions
2. SPECIALIZED THERAPIES SERVICE OVERVIEW
Specialized Therapies include medically necessary or developmentally supportive therapy services delivered under a plan of care to enhance functional abilities and promote independence.
Approved providers may deliver:
Physical therapy (PT): Improving mobility, balance, strength, and pain management
Occupational therapy (OT): Enhancing self-care skills, sensory integration, and environmental adaptations
Speech-language pathology (SLP): Addressing communication impairments, swallowing disorders (dysphagia), and cognitive-communication deficits
Behavioral therapies: Supporting individuals with emotional, behavioral, or social challenges through applied behavior analysis (ABA) or counseling-based models
Respiratory therapy: Managing pulmonary conditions and promoting respiratory health (limited use based on waiver program)
Therapies must be authorized in the participant’s Individualized Service Plan (ISP) or Plan of Care (POC) based on assessed needs and must follow HCBS and State Plan requirements.
3. LICENSING & PROVIDER APPROVAL REQUIREMENTS
Prerequisites:
Register business entity with the Illinois Secretary of State
Obtain EIN from the IRS and NPI (Type 2)
Enroll as a Medicaid Waiver provider through the Illinois Medicaid Provider Enrollment Portal (IMPACT system)
Hold active Illinois licensure for each therapy discipline (PT, OT, SLP, Behavioral Therapists)
Maintain general liability and professional malpractice insurance
Develop clinical policies for therapy assessment, intervention planning, participant safety, and documentation
Ensure staff meet licensing, credentialing, background checks, and continuing education requirements
4. ILLINOIS PROVIDER ENROLLMENT PROCESS
Initial Interest and Application:
Submit Provider Enrollment Application through the IMPACT system for Specialized Therapies under appropriate waiver programs or State Plan services
Application and Documentation Submission:
Provide Articles of Incorporation, EIN/NPI verification, professional licensure documents, insurance certificates, operational policies, and therapist credentialing records
Program Readiness Review:
DHS and/or HFS review service delivery models, therapist qualifications, clinical record-keeping procedures, participant-centered service standards, and billing readiness
Approval & Medicaid Enrollment:
Upon approval, providers are authorized to deliver specialized therapy services and bill Medicaid for approved services (therapy evaluation, re-evaluation, and ongoing therapy sessions)
5. REQUIRED DOCUMENTATION
Articles of Incorporation or Business License (Illinois Secretary of State)
IRS EIN confirmation
NPI confirmation
Illinois Professional Licenses for each therapy discipline
Proof of professional liability and general liability insurance
Specialized Therapies Policy & Procedure Manual including:
Participant intake, therapy assessment, and plan of care development procedures
Documentation and tracking of therapy services and participant progress
Incident reporting, participant rights, HIPAA confidentiality procedures
Staff credentialing, licensure verification, training records, and competency assessments
Billing practices for Medicaid audits and service documentation standards
6. STAFFING REQUIREMENTS
Role: Clinical Supervisor/Therapy Services Director
Requirements: Licensed therapist (PT, OT, SLP, or Behavior Analyst) with supervisory experience; background clearance
Role: Licensed Therapists (PTs, OTs, SLPs, Behavior Analysts)
Requirements: Active Illinois licensure in relevant discipline; CPR certification preferred; continuing education as required by licensing board; background screening clearance
Role: Therapy Assistants (where permitted)
Requirements: Licensed Physical Therapist Assistant (PTA) or Certified Occupational Therapy Assistant (COTA); supervised by licensed therapists; background clearance
All staff must complete:
HCBS Settings Rule and participant-centered service delivery training
HIPAA compliance and confidentiality training
Abuse, neglect, and exploitation prevention training
Infection control, emergency preparedness, and participant safety training
Annual clinical competency evaluations and ongoing professional development
7. MEDICAID WAIVER PROGRAMS
Specialized Therapies are available under the following Illinois Medicaid programs:
Adults with Developmental Disabilities Waiver
Children and Young Adults with Developmental Disabilities Waiver
Persons with Brain Injury (BI) Waiver
Persons with Disabilities (PD) Waiver
Elderly Waiver (Community Care Program) — limited therapy services under CCP case management
Approved providers may deliver:
Evaluation and re-evaluation services
Direct therapy intervention sessions
Participant and caregiver training for carryover activities
Ongoing reassessment to adjust therapy goals and service plans
Coordination with case managers, primary care physicians, and interdisciplinary teams
8. TIMELINE TO LAUNCH
Phase: Business Formation and Professional Compliance Preparation
Timeline: 1–2 months
Phase: Staff Hiring, Credentialing, and Therapy Program Development
Timeline: 2–3 months
Phase: IMPACT Medicaid Provider Enrollment and Readiness Review
Timeline: 60–90 days
Phase: Medicaid Billing System Setup and Specialized Therapies Service Launch
Timeline: 30–45 days
9. CONTACT INFORMATION
Illinois Department of Healthcare and Family Services (HFS)
Website: https://www.hfs.illinois.gov/
Illinois Department of Human Services (DHS) — Division of Developmental Disabilities and Division of Rehabilitation Services
Website: https://www.dhs.state.il.us/
Centers for Medicare & Medicaid Services (CMS)
Website: https://www.cms.gov/

WAIVER CONSULTING GROUP’S START-UP ASSISTANCE SERVICE — ILLINOIS SPECIALIZED THERAPIES PROVIDER
WCG assists therapy service providers, rehabilitation centers, and interdisciplinary care teams in launching Medicaid-compliant Specialized Therapy Services across Illinois.
Scope of Work:
Business registration, Medicaid enrollment, and clinical compliance guidance
Development of Specialized Therapies Policy & Procedure Manual
Staff credentialing templates, therapy assessment forms, and participant tracking systems
Medicaid billing system setup and audit-ready claims management
Website, domain, and professional branding support
Therapy intervention protocols, care plan templates, and outcome tracking tools
Quality assurance programs for clinical supervision, documentation audits, and participant satisfaction
Referral and care coordination partnership development with hospitals, schools, and community agencies
Our Client Portal offers a wealth of resources that you can explore related to various programs and state requirements.
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