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    623220 - Residential Mental Health and Substance Abuse Facilities

    Introduction

    Navigating the health care and social assistance landscape often means understanding specific industry classifications. One crucial category within this realm is NAICS code 623220 - Residential Mental Health and Substance Abuse Facilities. This classification is vital for businesses and organizations providing residential care combined with mental health or substance abuse treatment services. Whether you're a contractor, entrepreneur, or healthcare professional, knowing about NAICS 623220 can help identify opportunities, compliance requirements, and industry trends.

    What is NAICS Code 623220?

    NAICS code 623220 covers establishments primarily engaged in providing residential care together with medical, psychiatric, or psychological services for individuals suffering from mental health disorders or substance abuse problems. These facilities offer structured treatment and rehabilitation environments designed to support recovery and wellness.

    In essence, this classification is dedicated to facilities that offer a combination of residential living and intensive therapy, treatment, and support services for people facing mental health challenges or addiction.

    Sector Overview: Health Care and Social Assistance

    NAICS 623220 falls under the broader Health Care and Social Assistance sector. This sector plays a significant role in delivering essential services that improve community health outcomes. Residential Mental Health and Substance Abuse Facilities provide critical services that enable individuals to recover in safe, supervised environments, often after hospital discharge or as an alternative to inpatient hospitalization.

    Typical Business Activities under NAICS 623220

    Businesses classified under NAICS 623220 primarily focus on:

    • Residential mental health treatment centers
    • Substance abuse rehabilitation centers
    • Psychiatric residential treatment facilities
    • Halfway houses for mental health or substance abuse patients
    • Convalescent homes for psychiatric patients

    These organizations combine housing, therapy, and medical or psychiatric supervision to support patient rehabilitation.

    Size Standard for NAICS 623220

    For federal contracting and business classification purposes, a business is considered small under NAICS code 623220 if it has annual receipts of $19 million or less. This size standard is essential for eligibility in small business programs, including government contracting opportunities.

    Detailed NAICS 623220 Code Information

    Code Details Description
    Alcoholism rehabilitation facilities (except licensed hospitals), residential Facilities providing residential treatment for alcoholism without hospital licensing
    Convalescent homes or hospitals for psychiatric patients Long-term care facilities for psychiatric patient recovery
    Drug addiction rehabilitation facilities (except licensed hospitals), residential Facilities offering residential drug addiction treatment without hospital licensing
    Halfway houses for patients with mental health illnesses Transitional homes for individuals recovering from mental illness
    Halfway houses, substance abuse (e.g., alcoholism, drug addiction) Transitional homes focused on substance abuse recovery
    Homes for emotionally disturbed adults or children Residential care for emotionally disturbed individuals
    Homes, psychiatric convalescent Facilities providing convalescent care post-psychiatric hospitalization
    Hospitals, psychiatric convalescent Convalescent psychiatric hospitals
    Mental health facilities, residential Facilities offering residential mental health care
    Mental health halfway houses Transitional housing for mental health recovery
    Psychiatric convalescent homes or hospitals Homes or hospitals focused on psychiatric convalescent care
    Residential group homes for the emotionally disturbed Group homes for individuals with emotional disturbances
    Substance abuse (i.e., alcoholism, drug addiction) halfway houses Transitional housing for substance abuse recovery
    Substance abuse facilities, residential Residential care facilities specializing in substance abuse treatment

    Examples of Businesses under NAICS 623220

    • Residential Mental Health Treatment Centers: Facilities offering in-depth psychiatric counseling, medication management, and supportive living.
    • Substance Abuse Rehabilitation Centers: Residential programs focused on detox, counseling, relapse prevention, and life skills.
    • Psychiatric Residential Treatment Facilities: Specialized homes providing long-term care and therapy for severe mental illnesses.

    FAQs About NAICS 623220

    What types of services are included in NAICS code 623220?

    Services include residential care combined with medical, psychiatric, or psychological treatment for individuals with mental health disorders or substance abuse problems.

    Who uses NAICS code 623220?

    Healthcare providers, rehab centers, halfway houses, and government contractors focused on mental health and substance abuse residential treatment typically use this code.

    What is the size standard for a small business under this NAICS code?

    The Small Business Administration defines the size standard as $19 million or less in average annual receipts.

    Can hospitals be classified under NAICS 623220?

    Only psychiatric convalescent hospitals focused on residential care fall under this code, but licensed general hospitals providing inpatient treatment do not.

    How can this NAICS code help businesses?

    It helps organizations identify contracting opportunities, comply with industry regulations, and market their specialized residential treatment services accurately.


    Understanding NAICS code 623220 is crucial for businesses and organizations involved in residential mental health and substance abuse treatment. This classification highlights the important role these facilities play in healthcare and social assistance, offering structured environments for effective patient rehabilitation. Whether seeking business development opportunities or researching industry sectors, leveraging this knowledge ensures your organization stays aligned with sector standards and market demands.