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NAICS Code· 623220

NAICS 623220: Residential Mental Health and Substance Abuse Facilities

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 Cross-References.Show more

NAICS 623220 – Residential Mental Health and Substance Abuse Facilities encompasses the operation of inpatient treatment centers dedicated to the long-term and short-term care of individuals with severe mental health disorders and substance use dependencies. These facilities provide structured therapeutic environments that include clinical assessments, behavioral interventions, medication management, counseling, and case management services, often in alignment with SAMHSA guidelines and CMS reimbursement frameworks.

63
Active Contracts
$45.4M
Total Obligations (12mo)
105
Awarded Contracts (12mo)
73
Contractors Awarded (12mo)
1
Median Bidders per Award
-1.6%
YoY Growth

Industry Spending Overview

Federal obligations, top contractors and agencies, and related industry codes for NAICS 623220.

AI Industry Description

NAICS 623220 – Residential Mental Health and Substance Abuse Facilities encompasses the operation of inpatient treatment centers dedicated to the long-term and short-term care of individuals with severe mental health disorders and substance use dependencies. These facilities provide structured thera...

NAICS 623220 – Residential Mental Health and Substance Abuse Facilities encompasses the operation of inpatient treatment centers dedicated to the long-term and short-term care of individuals with severe mental health disorders and substance use dependencies. These facilities provide structured therapeutic environments that include clinical assessments, behavioral interventions, medication management, counseling, and case management services, often in alignment with SAMHSA guidelines and CMS reimbursement frameworks. Within the federal contracting landscape, this NAICS supports mission-critical health services for veterans, active-duty personnel, and eligible beneficiaries through the Department of Veterans Affairs and the Department of Defense, as well as Medicaid-funded programs administered by state agencies under federal oversight. Contracting typically involves service delivery agreements, managed care contracts, and facility operation support rather than capital procurement. No contractor data is available to identify top performers in this NAICS code. However, contractors operating in this space typically include specialized behavioral health providers, nonprofit healthcare systems, and small businesses with credentials in behavioral health accreditation, such as CARF or JCAHO. Many are Medicaid-certified and hold certifications under the Substance Abuse and Mental Health Services Administration’s provider network requirements. No agency data is available to identify primary awarding entities. Nonetheless, demand is driven by federal health and human services programs serving military and veteran populations, as well as interagency collaborations under the 21st Century Cures Act and the Substance Use-Disorder Prevention that Promotes Opioid Recovery and Treatment for Patients and Communities Act. The competitive landscape is characterized by high regulatory complexity and a reliance on state and federal reimbursement models, creating opportunity density for contractors with expertise in compliance, integrated care delivery, and trauma-informed service models. Growth areas include telehealth-enabled residential programs and culturally competent care for underserved populations, though procurement remains fragmented across federal, state, and local jurisdictions.

Small Business Size Standard

The SBA threshold that decides who can bid NAICS 623220 work as a small business.

$19.0M
Applies to the whole industry code

The SBA cap for this NAICS (13 CFR 121.201). A business at or under it can self-certify as small for work in this code, which is what makes it eligible for a small-business set-aside. The cap is set per NAICS, so the same company can be small in one code and not in another.

13 CFR 121.201, effective January 1, 2026. The SBA revises the table roughly once a year.

Top Contractors

Companies with the highest total award value under NAICS 623220, ranked by dollars won.

Competition

How many companies historically bid on federal awards in NAICS 623220, from bidder counts reported on USAspending.

Usually Single-Bid

Half or more of reported awards drew exactly one bidder, usually a sign of incumbent-held work rather than an open field. · 3,477 reported awards

Median Bidders

1

Per reported award, all-time

Single-Bid Awards

74%

Share of reported awards with one bidder

10+ Bidder Awards

1%

Share of reported awards with 10+ bidders

Reported Awards

3,477

77% of 4,503 total awards

Bidder Count Distribution by Fiscal Year

Share of reported awards in each bidder-count bracket per federal fiscal year.

How this code compares up the NAICS hierarchy. Parent cohorts pool every code under their prefix, so they are the steadier baseline when a 6-digit sample is thin.

Industry FamilyCompetitionMedian BiddersSingle-BidBidder MixReported Awards
623220This Code
Residential Mental Health and Substance Abuse Facilities
Usually Single-Bid174%
3,47777% of 4,503
62322NAICS Industry
Usually Single-Bid174%
3,47777% of 4,503
6232Industry Group
Residential Intellectual and Developmental Disability, Mental Health, and Substance Abuse Facilities
Usually Single-Bid174%
3,54277% of 4,579
623Subsector
Usually Single-Bid190%
98,25982% of 120,195
62Sector
Health Care and Social Assistance
Usually Single-Bid171%
550,70684% of 657,924

Bidder counts reported on past federal awards in this NAICS (USAspending). An open opportunity has no bidders yet, so this is the historical norm for similar work, not a fact about this solicitation. Not all awards report bidder counts, and fewer bidders often means incumbent-held work rather than an easier win. Federal reporting of bidder counts fell from ~96% of awards (FY2016) to ~30% (FY2018 onward); the chart shows shares of reported awards, and washed-out stretches mark years with fewer than 30 of them.

Related NAICS Codes

Industries similar to Residential Mental Health and Substance Abuse Facilities, by shared sector, subsector, and industry group.

Explore contracts across multiple NAICS codes Browse all NAICS Codes

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NAICS 623220 FAQ

Frequently Asked Questions

NAICS code 623220 covers Residential Mental Health and Substance Abuse Facilities. 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 Cross-References.

Recently Posted in Residential Mental Health and Substance Abuse Facilities

NAICS: 623220
New
Federal
Q999--VA Loma Linda Healthcare System 15-Bed Sober Living Transitional Housing Services - Amendment One (1)
Solicitation # 36C26226R0117
The Department of Veterans Affairs, Network Contracting Office 22, is soliciting proposals for an indefinite delivery, indefinite quantity (IDIQ) contract to provide Sober Living Transitional Housing services for the VA Loma Linda Healthcare System. The requirement is for a community-based facility with a capacity of up to 15 beds located within a 45-mile radius of the Loma Linda facility. The contractor must provide 24-hour staffing and supervision in an alcohol and drug-free environment, offering supportive services such as vocational counseling, social skills training, and daily transportation to ensure Veteran participation in VA programs. The contract period runs from January 1, 2027, through December 31, 2031, with a total duration not to exceed five years. Proposals are due by October 30, 2026, at 11:00 AM Pacific Time and must be submitted via email in four separate volumes covering administrative data, facility documentation, experience, and pricing. Award will be determined through a trade-off analysis based on three factors: experience providing similar services to Veterans, SDVOSB/VOSB status, and price, with the first two factors combined being more important than price. The contractor must adhere to strict ADA standards, HIPAA and Privacy Act confidentiality requirements, and maintain an approved infection control plan. Pricing is based on all-inclusive fixed rates for a base year and four option years, with monthly invoicing submitted in arrears.
262-NETWORK Contract Office 22 (36C262)

POSTED

5 days ago

DEADLINE

in 18 days
View Details
NAICS: 623220
New
SLED
Female Short-Term Residential Intervention Program
Solicitation # 19-RFP-2076363189-JEE
The North Carolina Department of Public Safety, Division of Juvenile Justice and Delinquency Prevention, is seeking competitive proposals for a Female Short-Term Residential Intervention Program located at 633 Shepards Way Lane, Manson, NC. The selected vendor will operate a staffed, non-secure residential facility capable of serving at least twenty female juveniles aged 13 to 17, including emerging adults and those with complex mental health needs such as PTSD, Mood Disorders, and Oppositional Defiant Disorder. The program must provide gender-responsive, trauma-informed therapeutic interventions, basic life and social skills development, and educational and vocational services. Key operational requirements include 24/7 supervision compliant with DHHS Licensure, the mandatory use of the NCALLIES system, and the employment of specific clinical staff, including an RN or LPN and an LCMHC, LPA, or LCSW. Proposals must be submitted via the Sourcing Tool by November 6, 2026, and will be evaluated using narrative analysis to determine the best value for the state. Vendors are required to provide a cost proposal with daily rates for an initial three-year term, with two optional extension years, for a total contract value expected to exceed 1,000,000 dollars. Mandatory submission documents include certifications of financial condition, alcohol and drug-free workplace policies, and customer references. Performance will be monitored through bi-weekly reporting and the Standardized Program Evaluation Protocol, with final acceptance contingent upon approval by the Contract Manager.
Department of Public Safety

POSTED

6 days ago

DEADLINE

in 25 days
View Details
NAICS: 623220
New
SLED
06922P0040-Provision of Congregate Supportive Housing
Solicitation # 06922P0040
Solicitation 06922P0040 is an open-ended request for proposals issued by the New York City Human Resources Administration and the Department of Homeless Services to provide congregate supportive housing services. Part of the NYC 15/15 initiative, this contract focuses on providing support services for vulnerable homeless New Yorkers, specifically those with serious mental illness and substance use disorders. While the broader initiative includes scattered-site apartments, this specific RFP provides funding solely for the congregate model. The contract term is five years with a single option to renew for up to four additional years. The scope of work encompasses intake and assessment, supportive services, program operations, and budget management. Contractors must adhere to strict occupancy targets, achieving 100 percent occupancy within three to six months of receiving a temporary certificate of occupancy, depending on the project size. Final awards are contingent upon the provider demonstrating site control through deeds, leases, or other legal authorizations. Proposals are submitted exclusively through the PASSPort system and require an approved HHS Prequalification Application. Evaluation is based on technical scores and cost per unit, with a focus on the most advantageous proposal for the City. Contractors are required to maintain building compliance with Department of Buildings standards and ensure ADA accessibility for tenants. Administrative requirements include the submission of a Labor Peace Agreement Certification and compliance with Local Law 87 of 2021. Payments are processed according to New York City Procurement Policy Board Rules, with administration fees for PASSPort deducted from contract payments. Implementation of the program must begin within 90 calendar days of the contract commencement date.
Department Of Social Services

POSTED

6 days ago

DEADLINE

N/A
View Details
NAICS: 623220
New
Federal
AMENDMENT 0002- G004--Transitional Housing - Health Care for Homeless Veterans (HCHV) Shreveport, Louisiana
Solicitation # 36C25626Q0949
The Department of Veterans Affairs, through Network Contract Office 16, is soliciting offers for the Health Care for Homeless Veterans (HCHV) program to provide transitional housing, therapeutic treatment, and rehabilitative services in Shreveport, Louisiana. Supporting the Overton Brooks VA Medical Center, the contractor will provide a safe, secure community-based environment for veterans with serious mental illness and homelessness. Key requirements include the provision of 29 residential beds, with at least 12 being ADA compliant, along with room and board, laundry services, and meals that accommodate diabetic and hypertension diets. The contractor must implement individualized therapeutic plans featuring group activities such as vocational counseling and social skills training occurring two to five times per week. While the contractor manages residential care, detoxification and hospital-level treatments will remain the responsibility of the VA. This is anticipated as a fixed-price Indefinite Delivery Contract with a five-year ordering period. Evaluation for award will be based on technical capability, past performance, price reasonableness, and socio-economic status, with a preference for verified SDVOSB/VOSB contractors. The contractor must adhere to strict quality standards monitored via a Quality Assurance Surveillance Plan, including annual fire and safety inspections. Compliance requirements include adherence to the Service Contract Act for wages, immigration laws, and strict confidentiality standards for medical and substance abuse records. Additionally, the contractor must provide identity theft insurance and ensure all key personnel are vetted for organizational conflicts of interest and security clearances where applicable.
256-NETWORK Contract Office 16 (36C256)

POSTED

7 days ago

DEADLINE

in 3 days
View Details
NAICS: 623220
SLED
RFP - TRANSITIONAL RESIDENTIAL TREATMENT PROGRAM
Solicitation # 13408
The County of San Diego is soliciting proposals under RFP 13408 to establish and operate a Transitional Residential Treatment Program. The program is designed to provide integrated treatment and rehabilitation services for Medi-Cal eligible adults and older adults, focusing on social and rehabilitative skills to facilitate transitions into the community or independent living and reduce hospitalizations. The contract features an initial term from July 1, 2027, to June 30, 2028, with options to extend in increments up to June 30, 2032. Performance will take place in San Diego, California, and requires the contractor to obtain Department of Health Care Services certification and necessary licenses within three months of the start date. Proposals are due by November 16, 2026, and must be submitted via the BuyNet portal or as physical copies prominently marked with the RFP number. Evaluation is based on mandatory minimum requirements, program approach, and organizational capability, with a strong emphasis on cultural responsiveness and the ability to provide 24/7 services. Key requirements include the implementation of a Quality Assurance Process for SMHS services, adherence to strict confidentiality and ADA compliance, and the maintenance of a compliance program per 42 CFR 438.608. Payment is contingent upon funding availability and the submission of substantiated invoices, with a standard 30-day payment term.
San Diego County

POSTED

10 days ago

DEADLINE

in about 1 month
View Details

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