(A) Medicaid will not pay for services provided under the conditions set out in this rule, even if an individual has been found eligible for a medical assistance category and is enrolled in medicaid.
(B) As required by 42 C.F.R. 435.1009 (as in effect on May 1, 2013), medicaid will not pay for services provided while an individual:
(1) Is confined in a public institution; or
(2) Is a patient in an institution for mental diseases (IMD) who is age twenty-two or older, but under age sixty-five.