Bill Text: MI SB0139 | 2019-2020 | 100th Legislature | Enrolled

NOTE: There are more recent revisions of this legislation. Read Latest Draft
Bill Title: Appropriations: health and human services; department of health and human services; provide for fiscal year 2019-2020. Creates appropriation act.

Spectrum: Partisan Bill (Republican 1-0)

Status: (Passed) 2019-10-03 - Postponed For The Day [SB0139 Detail]

Download: Michigan-2019-SB0139-Enrolled.html

STATE OF MICHIGAN

100TH LEGISLATURE

REGULAR SESSION OF 2019

Introduced by Senator MacGregor

ENROLLED SENATE BILL No. 139

AN ACT to make appropriations for the department of health and human services for the fiscal year ending September 30, 2020; and to provide for the expenditure of the appropriations.

The People of the State of Michigan enact:

PART 1

LINE-ITEM APPROPRIATIONS

Sec. 101. There is appropriated for the department of health and human services for the fiscal year ending September 30, 2020, from the following funds:

DEPARTMENT OF HEALTH AND HUMAN SERVICES

APPROPRIATION SUMMARY

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions........................................................................................16,005.0

Average population.............................................................................................................................770.0

GROSS APPROPRIATION.......................................................................................................................... $ 26,452,349,600

Interdepartmental grant revenues:

Total interdepartmental grants and intradepartmental transfers.......................................................... 13,857,600

ADJUSTED GROSS APPROPRIATION.................................................................................................. $ 26,438,492,000

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 557,217,500

Capped federal revenues................................................................................................................................ 573,830,400

Total other federal revenues......................................................................................................................... 17,262,613,500

Special revenue funds:

Total local revenues......................................................................................................................................... 151,546,000

Total private revenues.................................................................................................................................... 143,535,100

Michigan merit award trust fund................................................................................................................. 49,768,700

Total other state restricted revenues.......................................................................................................... 2,941,052,500

State general fund/general purpose............................................................................................................. $ 4,758,928,300

Sec. 102. DEPARTMENTAL ADMINISTRATION AND SUPPORT

Full-time equated unclassified positions............................................................................................6.0

Full-time equated classified positions.............................................................................................829.6

Unclassified salaries—6.0 FTE positions.................................................................................................... $ 1,223,600

Administrative hearings officers.................................................................................................................. $ 11,157,000

Demonstration projects—7.0 FTE positions.............................................................................................. 7,358,400

Departmental administration and management—601.6 FTE positions................................................. 95,382,700

Michigan community service commission—14.0 FTE positions.............................................................. 10,682,400

Office of inspector general—207.0 FTE positions..................................................................................... 25,961,600

Property management.................................................................................................................................... 68,243,100

Terminal leave payments............................................................................................................................... 7,302,700

Worker’s compensation................................................................................................................................... 6,674,900

GROSS APPROPRIATION.......................................................................................................................... $ 233,986,400

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 1,943,300

IDG from department of technology, management, and budget - office of retirement services...... 600

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 22,972,900

Capped federal revenues................................................................................................................................ 31,019,200

Total other federal revenues......................................................................................................................... 70,748,600

Special revenue funds:

Total local revenues......................................................................................................................................... 86,000

Total private revenues.................................................................................................................................... 3,887,300

Total other state restricted revenues.......................................................................................................... 1,270,100

State general fund/general purpose............................................................................................................. $ 102,058,400

Sec. 103. CHILD SUPPORT ENFORCEMENT

Full-time equated classified positions.............................................................................................185.7

Child support enforcement operations—179.7 FTE positions................................................................. $ 22,909,500

Child support incentive payments................................................................................................................ 24,409,600

Legal support contracts.................................................................................................................................. 113,027,100

State disbursement unit—6.0 FTE positions............................................................................................. 8,148,600

GROSS APPROPRIATION.......................................................................................................................... $ 168,494,800

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 142,584,500

State general fund/general purpose............................................................................................................. $ 25,910,300

Sec. 104. COMMUNITY SERVICES AND OUTREACH

Full-time equated classified positions...............................................................................................65.6

Bureau of community services and outreach—20.0 FTE positions........................................................ $ 3,439,300

Child advocacy centers—0.5 FTE position................................................................................................. 2,407,000

Community services and outreach administration—12.0 FTE positions.............................................. 1,672,200

Community services block grant.................................................................................................................. 25,840,000

Crime victim grants administration services—17.0 FTE positions....................................................... 2,236,000

Crime victim justice assistance grants........................................................................................................ 99,279,300

Crime victim rights services grants............................................................................................................. 18,870,000

Domestic violence prevention and treatment—15.6 FTE positions....................................................... 17,915,700

Homeless programs......................................................................................................................................... 22,632,700

Housing and support services....................................................................................................................... 13,031,000

Rape prevention and services—0.5 FTE position..................................................................................... 5,097,300

School success partnership program............................................................................................................ 525,000

Uniform statewide sexual assault evidence kit tracking system............................................................ 800,000

Weatherization assistance.............................................................................................................................. 15,505,000

GROSS APPROPRIATION.......................................................................................................................... $ 229,250,500

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 13,264,800

Capped federal revenues................................................................................................................................ 58,883,000

Total other federal revenues......................................................................................................................... 115,569,800

Special revenue funds:

Compulsive gambling prevention fund........................................................................................................ $ 1,040,500

Sexual assault evidence tracking fund......................................................................................................... 800,000

Sexual assault victims’ prevention and treatment fund........................................................................... 3,000,000

Child advocacy centers fund.......................................................................................................................... 1,407,000

Crime victim’s rights fund............................................................................................................................. 17,690,600

State general fund/general purpose............................................................................................................. $ 17,594,800

Sec. 105. CHILDREN’S SERVICES AGENCY - CHILD WELFARE

Full-time equated classified positions..........................................................................................4,047.2

Adoption subsidies........................................................................................................................................... $ 197,521,700

Adoption support services—10.0 FTE positions....................................................................................... 34,688,800

Attorney general contract.............................................................................................................................. 5,001,100

Child abuse and neglect - children’s justice act—1.0 FTE position....................................................... 626,400

Child care fund................................................................................................................................................. 228,211,300

Child care fund - indirect cost allotment..................................................................................................... 4,211,400

Child protection............................................................................................................................................... 800,300

Child welfare administration travel............................................................................................................. 375,000

Child welfare field staff - noncaseload compliance—353.0 FTE positions............................................ 39,335,100

Child welfare institute—51.0 FTE positions.............................................................................................. 9,315,000

Child welfare licensing—59.0 FTE positions.............................................................................................. 7,120,300

Child welfare medical/psychiatric evaluations........................................................................................... 9,835,500

Children’s protective services - caseload staff—1,615.0 FTE positions................................................ 162,849,600

Children’s protective services supervisors—387.0 FTE positions......................................................... 45,708,900

Children’s services administration—188.2 FTE positions........................................................................ 19,812,900

Children’s trust fund administration—12.0 FTE positions...................................................................... 590,700

Children’s trust fund grants.......................................................................................................................... 3,577,200

Contractual services, supplies, and materials............................................................................................ 10,155,600

Court-appointed special advocates............................................................................................................... 500,000

Education planners—15.0 FTE positions.................................................................................................... 1,579,200

Family preservation and prevention services administration—9.0 FTE positions............................. 1,342,900

Family preservation programs—15.0 FTE positions................................................................................ 45,994,700

Foster care payments..................................................................................................................................... 261,677,800

Foster care services - caseload staff—966.0 FTE positions.................................................................... 93,195,800

Foster care services supervisors—227.0 FTE positions.......................................................................... 29,535,000

Guardianship assistance program................................................................................................................. 10,411,200

Interstate compact.......................................................................................................................................... 179,600

Peer coaches—45.5 FTE positions............................................................................................................... 5,922,300

Performance based funding implementation—3.0 FTE positions.......................................................... 1,454,500

Permanency resource managers—28.0 FTE positions............................................................................. 3,317,600

Prosecuting attorney contracts..................................................................................................................... 3,879,500

Second line supervisors and technical staff—54.0 FTE positions.......................................................... 9,184,800

Settlement monitor......................................................................................................................................... 2,034,100

Strong families/safe children......................................................................................................................... 12,600,000

Title IV-E compliance and accountability office—4.0 FTE positions..................................................... 435,700

Youth in transition—4.5 FTE positions....................................................................................................... 15,545,100

GROSS APPROPRIATION.......................................................................................................................... $ 1,278,526,600

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 90,300

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 347,382,100

Capped federal revenues................................................................................................................................ 113,096,100

Total other federal revenues......................................................................................................................... 252,530,500

Special revenue funds:

Private - collections......................................................................................................................................... 1,770,700

Local funds - county chargeback.................................................................................................................. 40,914,500

Children’s trust fund....................................................................................................................................... 2,897,300

State general fund/general purpose............................................................................................................. $ 519,845,100

Sec. 106. CHILDREN’S SERVICES AGENCY - JUVENILE JUSTICE

Full-time equated classified positions.............................................................................................120.5

Bay Pines Center—47.0 FTE positions....................................................................................................... $ 5,502,800

Committee on juvenile justice administration—2.5 FTE positions........................................................ 356,300

Committee on juvenile justice grants.......................................................................................................... 3,000,000

Community support services—3.0 FTE positions..................................................................................... 2,129,400

County juvenile officers.................................................................................................................................. 3,904,300

Juvenile justice, administration and maintenance—21.0 FTE positions............................................... 2,817,900

Shawono Center—47.0 FTE positions......................................................................................................... 5,566,800

GROSS APPROPRIATION.......................................................................................................................... $ 23,277,500

Appropriated from:

Federal revenues:

Capped federal revenues................................................................................................................................ 8,556,700

Special revenue funds:

Local funds - state share education funds................................................................................................... 1,355,700

Local funds - county chargeback.................................................................................................................. 4,698,000

State general fund/general purpose............................................................................................................. $ 8,667,100

Sec. 107. PUBLIC ASSISTANCE

Full-time equated classified positions.................................................................................................3.0

Emergency services local office allocations................................................................................................ $ 9,007,500

Family independence program...................................................................................................................... 67,503,700

Food assistance program benefits................................................................................................................ 1,760,805,700

Food Bank Council of Michigan.................................................................................................................... 2,045,000

Indigent burial................................................................................................................................................. 3,875,000

Low-income home energy assistance program.......................................................................................... 174,951,600

Michigan energy assistance program—1.0 FTE position......................................................................... 50,000,000

Multicultural integration funding................................................................................................................. 15,303,800

Refugee assistance program—2.0 FTE positions...................................................................................... 3,050,400

State disability assistance payments........................................................................................................... 6,671,500

State supplementation.................................................................................................................................... 58,792,500

State supplementation administration......................................................................................................... 1,806,100

GROSS APPROPRIATION.......................................................................................................................... $ 2,153,812,800

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 59,127,700

Capped federal revenues................................................................................................................................ 178,186,500

Total other federal revenues......................................................................................................................... 1,756,605,700

Special revenue funds:

Child support collections................................................................................................................................ 11,250,200

Supplemental security income recoveries................................................................................................... 4,142,700

Public assistance recoupment revenue........................................................................................................ 5,000,000

Low-income energy assistance fund............................................................................................................. 50,000,000

State general fund/general purpose............................................................................................................. $ 89,500,000

Sec. 108. FIELD OPERATIONS AND SUPPORT SERVICES

Full-time equated classified positions..........................................................................................5,814.5

Administrative support workers—221.0 FTE positions.......................................................................... $ 13,397,000

Adult services field staff—520.0 FTE positions........................................................................................ 58,058,800

Contractual services, supplies, and materials............................................................................................ 16,927,600

Donated funds positions—238.0 FTE positions......................................................................................... 27,558,000

Elder Law of Michigan MiCAFE contract................................................................................................. 350,000

Electronic benefit transfer (EBT)................................................................................................................ 6,809,000

Employment and training support services............................................................................................... 4,219,100

Field policy and administration—66.0 FTE positions............................................................................... 11,464,100

Field staff travel.............................................................................................................................................. 8,111,400

Medical/psychiatric evaluations..................................................................................................................... 1,420,100

Nutrition education—2.0 FTE positions..................................................................................................... 33,050,400

Pathways to potential—231.0 FTE positions............................................................................................. $ 24,417,400

Public assistance field staff—4,516.5 FTE positions................................................................................. 474,868,200

SSI advocacy legal services grant................................................................................................................ 175,000

Training and program support—20.0 FTE positions................................................................................ 2,516,600

GROSS APPROPRIATION.......................................................................................................................... $ 683,342,700

Appropriated from:

Interdepartmental grant revenues:

IDG from department of corrections........................................................................................................... 121,500

IDG from department of education.............................................................................................................. 7,873,100

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 73,765,600

Capped federal revenues................................................................................................................................ 55,013,900

Total other federal revenues......................................................................................................................... 264,635,900

Special revenue funds:

Local funds - donated funds........................................................................................................................... 4,102,000

Private funds - donated funds....................................................................................................................... 9,395,600

State general fund/general purpose............................................................................................................. $ 268,435,100

Sec. 109. DISABILITY DETERMINATION SERVICES

Full-time equated classified positions.............................................................................................575.4

Disability determination operations—571.3 FTE positions..................................................................... $ 112,880,800

Retirement disability determination—4.1 FTE positions........................................................................ 623,300

GROSS APPROPRIATION.......................................................................................................................... $ 113,504,100

Appropriated from:

Interdepartmental grant revenues:

IDG from department of technology, management, and budget - office of retirement services...... 799,900

Federal revenues:

Total other federal revenues......................................................................................................................... 108,388,000

State general fund/general purpose............................................................................................................. $ 4,316,200

Sec. 110. BEHAVIORAL HEALTH PROGRAM ADMINISTRATION AND SPECIAL

PROJECTS

Full-time equated classified positions.............................................................................................108.0

Behavioral health program administration—86.0 FTE positions........................................................... $ 49,886,700

Court-ordered assisted outpatient treatment............................................................................................ 1,000,000

Family support subsidy.................................................................................................................................. 14,137,300

Federal and other special projects............................................................................................................... 2,535,600

Gambling addiction—1.0 FTE position........................................................................................................ 4,511,000

Mental health diversion council..................................................................................................................... 4,350,000

Office of recipient rights—21.0 FTE positions........................................................................................... 2,604,700

Protection and advocacy services support.................................................................................................. 194,400

GROSS APPROPRIATION.......................................................................................................................... $ 79,219,700

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 14,317,800

Total other federal revenues......................................................................................................................... 38,998,700

Special revenue funds:

Total private revenues.................................................................................................................................... 1,004,700

Total other state restricted revenues.......................................................................................................... 4,511,000

State general fund/general purpose............................................................................................................. $ 20,387,500

Sec. 111. BEHAVIORAL HEALTH SERVICES

Full-time equated classified positions...............................................................................................11.0

Autism services................................................................................................................................................ $ 230,679,600

Behavioral health community supports and services................................................................................ 11,221,500

Children with serious emotional disturbance waiver................................................................................ 8,600,000

Children’s waiver home care program......................................................................................................... 18,330,800

Civil service charges....................................................................................................................................... 249,300

Community mental health non-Medicaid services..................................................................................... $ 125,578,200

Community substance use disorder prevention, education, and treatment.......................................... 108,754,700

Court-appointed guardian reimbursements................................................................................................ 2,700,000

Federal mental health block grant—4.0 FTE positions........................................................................... 20,573,800

Health homes.................................................................................................................................................... 3,369,000

Healthy Michigan plan - behavioral health................................................................................................. 371,843,300

Medicaid mental health services................................................................................................................... 2,487,345,800

Medicaid substance use disorder services................................................................................................... 68,281,100

Nursing home PAS/ARR-OBRA—7.0 FTE positions.............................................................................. 12,291,300

GROSS APPROPRIATION.......................................................................................................................... $ 3,469,818,400

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 2,284,772,600

Special revenue funds:

Total local revenues......................................................................................................................................... 20,380,700

Total other state restricted revenues.......................................................................................................... 43,593,100

State general fund/general purpose............................................................................................................. $ 1,121,072,000

Sec. 112. STATE PSYCHIATRIC HOSPITALS AND FORENSIC MENTAL HEALTH

SERVICES

Total average population...................................................................................................................770.0

Full-time equated classified positions..........................................................................................2,390.6

Behavioral health facility contingency......................................................................................................... $ 20,000,000

Caro Regional Mental Health Center - psychiatric hospital - adult - or regional mental health

center located within 6 miles of the county seat of a county with a population between 55,000

and 57,000 in the 2010 decennial census—542.3 FTE positions.......................................................... 63,020,400

Average population.............................................................................................................................145.0

Center for forensic psychiatry—608.1 FTE positions.............................................................................. 87,262,300

Average population.............................................................................................................................240.0

Developmental disabilities council and projects—10.0 FTE positions.................................................. 3,108,100

Gifts and bequests for patient living and treatment environment......................................................... 1,000,000

Hawthorn Center - psychiatric hospital - children and adolescents—276.0 FTE positions.............. 32,617,800

Average population...............................................................................................................................55.0

IDEA, federal special education................................................................................................................... 120,000

Kalamazoo Psychiatric Hospital - adult—548.8 FTE positions............................................................... 71,128,700

Average population.............................................................................................................................170.0

Purchase of medical services for residents of hospitals and centers..................................................... 445,600

Revenue recapture.......................................................................................................................................... 750,100

Special maintenance........................................................................................................................................ 924,600

Walter P. Reuther Psychiatric Hospital - adult—405.4 FTE positions................................................. 48,375,800

Average population.............................................................................................................................160.0

GROSS APPROPRIATION.......................................................................................................................... $ 328,753,400

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 43,434,400

Special revenue funds:

Total local revenues......................................................................................................................................... 23,106,200

Total private revenues.................................................................................................................................... 1,000,000

Total other state restricted revenues.......................................................................................................... 15,092,700

State general fund/general purpose............................................................................................................. $ 246,120,100

Sec. 113. HEALTH AND HUMAN SERVICES POLICY AND INITIATIVES

Full-time equated classified positions.............................................................................................609.7

Certificate of need program administration—11.8 FTE positions......................................................... $ 2,770,900

Health policy administration—33.9 FTE positions................................................................................... 14,217,200

Human trafficking intervention services..................................................................................................... 200,000

Independent living........................................................................................................................................... 15,531,600

Michigan essential health provider............................................................................................................... 4,384,200

Michigan rehabilitation services—555.0 FTE positions........................................................................... 131,109,200

Minority health grants and contracts—3.0 FTE positions...................................................................... $ 1,127,900

Nurse education and research program—3.0 FTE positions.................................................................. 798,900

Primary care services—2.0 FTE positions................................................................................................. 3,781,000

Rural health services—1.0 FTE position.................................................................................................... 1,555,500

GROSS APPROPRIATION.......................................................................................................................... $ 175,476,400

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 2,400

IDG from department of licensing and regulatory affairs....................................................................... 837,200

IDG from department of treasury, Michigan finance authority.............................................................. 117,700

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 332,100

Capped federal revenues................................................................................................................................ 104,163,600

Federal supplemental security income........................................................................................................ 8,588,600

Total other federal revenues......................................................................................................................... 16,176,400

Special revenue funds:

Total local revenues......................................................................................................................................... 5,300,000

Total private revenues.................................................................................................................................... 1,396,500

Total other state restricted revenues.......................................................................................................... 3,143,000

State general fund/general purpose............................................................................................................. $ 35,418,900

Sec. 114. LABORATORY SERVICES

Full-time equated classified positions.............................................................................................102.0

Laboratory services—102.0 FTE positions................................................................................................ $ 23,642,100

GROSS APPROPRIATION.......................................................................................................................... $ 23,642,100

Appropriated from:

Interdepartmental grant revenues:

IDG from department of environment, Great Lakes, and energy......................................................... 1,004,600

Federal revenues:

Total other federal revenues......................................................................................................................... 4,338,600

Special revenue funds:

Total other state restricted revenues.......................................................................................................... 12,147,200

State general fund/general purpose............................................................................................................. $ 6,151,700

Sec. 115. EPIDEMIOLOGY AND POPULATION HEALTH

Full-time equated classified positions.............................................................................................242.5

Childhood lead program—4.5 FTE positions............................................................................................. $ 2,062,200

Epidemiology administration—86.1 FTE positions................................................................................... 25,826,600

Healthy homes program—12.0 FTE positions........................................................................................... 27,768,000

Newborn screening follow-up and treatment services—10.5 FTE positions....................................... 7,825,900

PFAS and environmental contamination response—48.0 FTE positions.............................................. 21,633,700

Vital records and health statistics—81.4 FTE positions.......................................................................... 10,439,500

GROSS APPROPRIATION.......................................................................................................................... $ 95,555,900

Appropriated from:

Federal revenues:

Capped federal revenues................................................................................................................................ 81,100

Total other federal revenues......................................................................................................................... 41,423,800

Special revenue funds:

Total private revenues.................................................................................................................................... 347,000

Total other state restricted revenues.......................................................................................................... 14,529,500

State general fund/general purpose............................................................................................................. $ 39,174,500

Sec. 116. LOCAL HEALTH AND ADMINISTRATIVE SERVICES

Full-time equated classified positions.............................................................................................137.3

AIDS prevention, testing, and care programs—37.7 FTE positions..................................................... $ 63,752,200

Cancer prevention and control program—16.0 FTE positions............................................................... 15,632,300

Chronic disease control and health promotion administration—23.4 FTE positions.......................... 10,617,300

Diabetes and kidney program—8.0 FTE positions................................................................................... 4,078,100

Essential local public health services........................................................................................................... 51,419,300

Implementation of 1993 PA 133, MCL 333.17015...................................................................................... $ 20,000

Injury control intervention project.............................................................................................................. 1,500,000

Local health services—3.3 FTE positions................................................................................................... 7,209,100

Medicaid outreach cost reimbursement to local health departments.................................................... 12,500,000

Public health administration—9.0 FTE positions...................................................................................... 1,998,200

Sexually transmitted disease control program—20.0 FTE positions.................................................... 6,376,500

Smoking prevention program—15.0 FTE positions.................................................................................. 3,818,000

Violence prevention—4.9 FTE positions..................................................................................................... 3,315,800

GROSS APPROPRIATION.......................................................................................................................... $ 182,236,800

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 73,049,200

Special revenue funds:

Total local revenues......................................................................................................................................... 5,150,000

Total private revenues.................................................................................................................................... 33,789,800

Total other state restricted revenues.......................................................................................................... 9,919,500

State general fund/general purpose............................................................................................................. $ 60,328,300

Sec. 117. FAMILY HEALTH SERVICES

Full-time equated classified positions.............................................................................................133.6

Dental programs—3.8 FTE positions.......................................................................................................... $ 5,479,900

Family, maternal, and child health administration—55.0 FTE positions.............................................. 9,738,300

Family planning local agreements................................................................................................................ 8,310,700

Immunization program—15.8 FTE positions............................................................................................. 19,046,200

Local MCH services........................................................................................................................................ 7,018,100

Pregnancy prevention program.................................................................................................................... 1,464,600

Prenatal care and premature birth avoidance grant................................................................................. 1,000,000

Prenatal care outreach and service delivery support—14.0 FTE positions......................................... 21,078,300

Special projects................................................................................................................................................ 6,289,100

Sudden and unexpected infant death and suffocation prevention program......................................... 321,300

Women, infants, and children program administration and special projects—45.0 FTE positions... 18,186,600

Women, infants, and children program local agreements and food costs.............................................. 231,285,000

GROSS APPROPRIATION.......................................................................................................................... $ 329,218,100

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 700,000

Total other federal revenues......................................................................................................................... 243,388,500

Special revenue funds:

Total local revenues......................................................................................................................................... 75,000

Total private revenues.................................................................................................................................... 62,202,400

Total other state restricted revenues.......................................................................................................... 4,053,900

State general fund/general purpose............................................................................................................. $ 18,798,300

Sec. 118. EMERGENCY MEDICAL SERVICES, TRAUMA, AND PREPAREDNESS

Full-time equated classified positions...............................................................................................76.0

Bioterrorism preparedness—53.0 FTE positions...................................................................................... $ 30,522,900

Emergency medical services program—23.0 FTE positions................................................................... 6,594,100

GROSS APPROPRIATION.......................................................................................................................... $ 37,117,000

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 31,532,200

Special revenue funds:

Total other state restricted revenues.......................................................................................................... 4,004,900

State general fund/general purpose............................................................................................................. $ 1,579,900

Sec. 119. CHILDREN’S SPECIAL HEALTH CARE SERVICES

Full-time equated classified positions...............................................................................................46.8

Bequests for care and services—2.8 FTE positions.................................................................................. $ 1,841,400

Children’s special health care services administration—44.0 FTE positions....................................... 6,173,400

Medical care and treatment........................................................................................................................... $ 236,348,100

Nonemergency medical transportation........................................................................................................ 405,900

Outreach and advocacy................................................................................................................................... 5,510,000

GROSS APPROPRIATION.......................................................................................................................... $ 250,278,800

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 134,955,400

Special revenue funds:

Total private revenues.................................................................................................................................... 1,019,800

Total other state restricted revenues.......................................................................................................... 3,683,400

State general fund/general purpose............................................................................................................. $ 110,620,200

Sec. 120. AGING AND ADULT SERVICES AGENCY

Full-time equated classified positions...............................................................................................47.0

Aging and adult services administration—47.0 FTE positions............................................................... $ 8,727,600

Community services........................................................................................................................................ 45,966,300

Employment assistance.................................................................................................................................. 3,500,000

Nutrition services............................................................................................................................................ 42,254,200

Respite care program..................................................................................................................................... 6,468,700

Senior volunteer service programs.............................................................................................................. 4,765,300

GROSS APPROPRIATION.......................................................................................................................... $ 111,682,100

Appropriated from:

Federal revenues:

Capped federal revenues................................................................................................................................ 249,700

Total other federal revenues......................................................................................................................... 59,094,200

Special revenue funds:

Total private revenues.................................................................................................................................... 520,000

Michigan merit award trust fund................................................................................................................. 4,068,700

Total other state restricted revenues.......................................................................................................... 2,000,000

State general fund/general purpose............................................................................................................. $ 45,749,500

Sec. 121. MEDICAL SERVICES ADMINISTRATION

Full-time equated classified positions.............................................................................................406.0

Electronic health record incentive program............................................................................................... $ 37,501,000

Healthy Michigan plan administration—36.0 FTE positions................................................................... 45,654,100

Medical services administration—370.0 FTE positions............................................................................ 79,621,500

GROSS APPROPRIATION.......................................................................................................................... $ 162,776,600

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 118,936,900

Special revenue funds:

Total local revenues......................................................................................................................................... 37,700

Total private revenues.................................................................................................................................... 101,300

Total other state restricted revenues.......................................................................................................... 336,300

State general fund/general purpose............................................................................................................. $ 43,364,400

Sec. 122. MEDICAL SERVICES

Adult home help services............................................................................................................................... $ 392,268,400

Ambulance services......................................................................................................................................... 10,790,100

Auxiliary medical services............................................................................................................................. 7,815,800

Dental clinic program...................................................................................................................................... 1,000,000

Dental services................................................................................................................................................. 337,962,100

Federal Medicare pharmaceutical program................................................................................................ 294,513,900

Health plan services........................................................................................................................................ 5,444,321,400

Healthy Michigan plan.................................................................................................................................... 3,777,862,100

Home health services...................................................................................................................................... 5,722,800

Hospice services............................................................................................................................................... 156,207,600

Hospital disproportionate share payments................................................................................................. 45,000,000

Hospital services and therapy....................................................................................................................... $ 804,829,900

Integrated care organizations....................................................................................................................... 276,837,700

Long-term care services................................................................................................................................. 2,038,990,500

Maternal and child health............................................................................................................................... 32,279,600

Medicaid home- and community-based services waiver........................................................................... 390,620,400

Medicare premium payments........................................................................................................................ 627,602,400

Personal care services.................................................................................................................................... 8,472,900

Pharmaceutical services................................................................................................................................. 292,982,600

Physician services............................................................................................................................................ 212,852,600

Program of all-inclusive care for the elderly.............................................................................................. 129,353,900

School-based services...................................................................................................................................... 131,140,000

Special Medicaid reimbursement.................................................................................................................. 342,739,100

Transportation.................................................................................................................................................. 18,686,800

GROSS APPROPRIATION.......................................................................................................................... $ 15,780,852,600

Appropriated from:

Federal revenues:

Total other federal revenues......................................................................................................................... 11,130,120,600

Special revenue funds:

Total local revenues......................................................................................................................................... 46,340,200

Total private revenues.................................................................................................................................... 2,100,000

Michigan merit award trust fund................................................................................................................. 45,700,000

Total other state restricted revenues.......................................................................................................... 2,722,539,800

State general fund/general purpose............................................................................................................. $ 1,834,052,000

Sec. 123. INFORMATION TECHNOLOGY

Full-time equated classified positions...............................................................................................43.0

Bridges information system........................................................................................................................... $ 3,726,100

Child support automation............................................................................................................................... 11,106,500

Information technology contingency............................................................................................................ 344,023,800

Information technology services and projects............................................................................................ 49,763,300

Michigan Medicaid information system....................................................................................................... 26,071,900

Michigan statewide automated child welfare information system......................................................... 5,623,900

State child welfare information system....................................................................................................... 100

Technology supporting integrated service delivery—43.0 FTE positions............................................ 18,383,300

GROSS APPROPRIATION.......................................................................................................................... $ 458,698,900

Appropriated from:

Interdepartmental grant revenues:

IDG from department of education.............................................................................................................. 1,067,000

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 24,854,500

Capped federal revenues................................................................................................................................ 24,580,600

Total other federal revenues......................................................................................................................... 286,429,800

Special revenue funds:

Total private revenues.................................................................................................................................... 25,000,000

Total other state restricted revenues.......................................................................................................... 1,999,800

State general fund/general purpose............................................................................................................. $ 94,767,200

Sec. 124. ONE-TIME APPROPRIATIONS

Full-time equated classified positions...............................................................................................10.0

Asian American health care and wellness initiative................................................................................. $ 150,000

Autism navigator............................................................................................................................................. 1,025,000

Autism train the trainer grant...................................................................................................................... 100,000

Cercarial dermatitis prevention program................................................................................................... 250,000

Child and adolescent health centers............................................................................................................. 1,000,000

Children’s behavioral health counseling services....................................................................................... 100,000

Co-responder crisis services pilot................................................................................................................. 60,000

Dental clinic program...................................................................................................................................... 1,000,000

Drinking water declaration of emergency.................................................................................................. $ 4,621,100

Employment first............................................................................................................................................. 500,000

Food delivery................................................................................................................................................... 470,000

Healthy communities grant........................................................................................................................... 300,000

Healthy seniors grant..................................................................................................................................... 1,000,000

Homelessness elimination blueprint............................................................................................................. 250,000

Hospital behavioral health pilot program—10.0 FTE positions............................................................. 4,000,000

Human trafficking survivors’ assistance..................................................................................................... 1,000,000

Juvenile justice property projects................................................................................................................ 300,000

Kids’ food basket.............................................................................................................................................. 250,000

Lead exposure response and abatement..................................................................................................... 3,434,500

Legal assistance............................................................................................................................................... 60,000

Multicultural integration funding................................................................................................................. 1,981,100

One-time information technology contingency........................................................................................... 35,250,000

One-time information technology services and projects.......................................................................... 11,750,000

Opioid transitional housing and services grant.......................................................................................... 750,000

Primary care and dental health services..................................................................................................... 150,000

Project ECHO opioid intervention............................................................................................................... 40,000

Property management projects.................................................................................................................... 2,460,700

Refugee assistance grant............................................................................................................................... 175,000

Runaway and homeless youth services program....................................................................................... 800,000

Senior citizen center program grants.......................................................................................................... 500,000

Senior community services............................................................................................................................ 400,000

Sexual assault comprehensive services grants.......................................................................................... 2,000,000

State innovation model continuation............................................................................................................ 3,000,000

Statewide health information exchange projects....................................................................................... 1,500,000

Substance abuse community and school outreach..................................................................................... 100,000

Unified clinics resiliency center for families and children....................................................................... 1,500,000

Wrap-around services..................................................................................................................................... 600,000

GROSS APPROPRIATION.......................................................................................................................... $ 82,827,400

Appropriated from:

Federal revenues:

Social security act, temporary assistance for needy families.................................................................. 500,000

Total other federal revenues......................................................................................................................... 36,310,600

Special revenue funds:

Total other state restricted revenues.......................................................................................................... 1,000,000

State general fund/general purpose............................................................................................................. $ 45,016,800

PART 2

PROVISIONS CONCERNING APPROPRIATIONS FOR FISCAL YEAR 2019-2020

GENERAL SECTIONS

Sec. 201. Pursuant to section 30 of article IX of the state constitution of 1963, total state spending from state sources under part 1 for fiscal year 2019-2020 is $7,749,749,500.00 and state spending from state sources to be paid to local units of government for fiscal year 2019-2020 is $1,567,136,600.00. The itemized statement below identifies appropriations from which spending to local units of government will occur:

DEPARTMENT OF HEALTH AND HUMAN SERVICES

DEPARTMENTAL ADMINISTRATION AND SUPPORT

Departmental administration and management......................................................................................... $ 344,000

Michigan community service commission.................................................................................................... 2,300

CHILD SUPPORT ENFORCEMENT

Child support incentive payments................................................................................................................ 9,465,000

Legal support contracts.................................................................................................................................. 3,511,000

COMMUNITY SERVICES AND OUTREACH

Crime victim rights services grants............................................................................................................. 7,796,300

Domestic violence prevention and treatment............................................................................................. 164,500

Housing and support services....................................................................................................................... 501,200

CHILDREN’S SERVICES AGENCY - CHILD WELFARE

Child care fund................................................................................................................................................. 162,024,300

Child care fund - indirect cost allotment..................................................................................................... 4,211,400

Child welfare licensing.................................................................................................................................... 76,700

Child welfare medical/psychiatric evaluations........................................................................................... 32,700

Children’s trust fund grants.......................................................................................................................... 150,200

Contractual services, supplies, and materials............................................................................................ 5,600

Foster care payments..................................................................................................................................... 2,485,800

Youth in transition........................................................................................................................................... 2,700

CHILDREN’S SERVICES AGENCY - JUVENILE JUSTICE

Bay Pines Center............................................................................................................................................. 26,900

Community support services......................................................................................................................... 412,800

Juvenile justice, administration and maintenance..................................................................................... 26,500

Shawono Center............................................................................................................................................... 1,300

PUBLIC ASSISTANCE

Emergency services local office allocations................................................................................................ 557,800

Family independence program...................................................................................................................... 1,300

Indigent burial................................................................................................................................................. 4,300

Multicultural integration funding................................................................................................................. 1,193,300

State disability assistance payments........................................................................................................... 243,400

FIELD OPERATIONS AND SUPPORT SERVICES

Contractual services, supplies, and materials............................................................................................ 46,500

Employment and training support services............................................................................................... 7,600

BEHAVIORAL HEALTH PROGRAM ADMINISTRATION AND SPECIAL PROJECTS

Behavioral health program administration................................................................................................. 4,252,000

BEHAVIORAL HEALTH SERVICES

Autism services................................................................................................................................................ 80,970,600

Children with serious emotional disturbance waiver................................................................................ 2,194,000

Children’s waiver home care program......................................................................................................... 5,242,900

Community mental health non-Medicaid services..................................................................................... 125,578,200

Community substance use disorder prevention, education, and treatment.......................................... 14,735,900

Health homes.................................................................................................................................................... 50,800

Healthy Michigan plan - behavioral health................................................................................................. 34,358,200

Medicaid mental health services................................................................................................................... 859,638,900

Medicaid substance use disorder services................................................................................................... 24,004,600

Nursing home PAS/ARR-OBRA.................................................................................................................. 2,485,800

STATE PSYCHIATRIC HOSPITALS AND FORENSIC MENTAL HEALTH SERVICES

Caro Regional Mental Health Center - psychiatric hospital - adult - or regional mental health

center located within 6 miles of the county seat of a county with a population between

55,000 and 57,000 in the 2010 decennial census...................................................................................... 182,900

Center for forensic psychiatry...................................................................................................................... 643,600

Hawthorn Center - psychiatric hospital - children and adolescents...................................................... 93,600

Kalamazoo Psychiatric Hospital - adult....................................................................................................... 33,300

Walter P. Reuther Psychiatric Hospital - adult......................................................................................... 48,000

HEALTH AND HUMAN SERVICES POLICY AND INITIATIVES

Michigan rehabilitation services................................................................................................................... 262,600

Primary care services..................................................................................................................................... 88,900

EPIDEMIOLOGY AND POPULATION HEALTH

Epidemiology administration......................................................................................................................... 233,200

Healthy homes program................................................................................................................................. 99,200

Vital records and health statistics................................................................................................................ 5,100

LOCAL HEALTH AND ADMINISTRATIVE SERVICES

AIDS prevention, testing, and care programs........................................................................................... 2,323,800

Cancer prevention and control program..................................................................................................... 463,000

Chronic disease control and health promotion administration................................................................ 2,189,400

Essential local public health services........................................................................................................... 46,269,300

Local health services....................................................................................................................................... 3,184,300

Sexually transmitted disease control program.......................................................................................... 442,700

FAMILY HEALTH SERVICES

Family, maternal, and child health administration.................................................................................... 52,300

Family planning local agreements................................................................................................................ 187,700

Immunization program................................................................................................................................... 1,247,900

Prenatal care outreach and service delivery support............................................................................... 4,134,100

EMERGENCY MEDICAL SERVICES, TRAUMA, AND PREPAREDNESS

Emergency medical services program......................................................................................................... 8,200

CHILDREN’S SPECIAL HEALTH CARE SERVICES

Medical care and treatment........................................................................................................................... 368,800

Outreach and advocacy................................................................................................................................... 2,617,900

AGING AND ADULT SERVICES AGENCY

Aging and adult services administration..................................................................................................... 716,400

Community services........................................................................................................................................ 21,589,100

Nutrition services............................................................................................................................................ 12,597,200

Respite care program..................................................................................................................................... 6,375,300

Senior volunteer service programs.............................................................................................................. 1,000,400

MEDICAL SERVICES

Adult home help services............................................................................................................................... 269,100

Ambulance services......................................................................................................................................... 441,400

Auxiliary medical services............................................................................................................................. 1,100

Dental services................................................................................................................................................. 1,166,900

Health plan services........................................................................................................................................ 658,300

Healthy Michigan plan.................................................................................................................................... 463,800

Home health services...................................................................................................................................... 15,500

Hospice services............................................................................................................................................... 51,900

Hospital disproportionate share payments................................................................................................. 9,000

Hospital services and therapy....................................................................................................................... 2,032,000

Long-term care services................................................................................................................................. 90,155,600

Medicaid home- and community-based services waiver........................................................................... 11,666,900

Personal care services.................................................................................................................................... 28,900

Pharmaceutical services................................................................................................................................. 16,400

Physician services............................................................................................................................................ 3,320,300

Special Medicaid reimbursement.................................................................................................................. 112,900

Transportation.................................................................................................................................................. 235,900

ONE-TIME APPROPRIATIONS

Drinking water declaration of emergency.................................................................................................. 1,460,000

Homelessness elimination blueprint............................................................................................................. 250,000

Lead exposure response and abatement..................................................................................................... 515,200

TOTAL OF PAYMENTS TO LOCAL UNITS OF GOVERNMENT.................................................. $ 1,567,136,600

Sec. 202. The appropriations authorized under this part and part 1 are subject to the management and budget act, 1984 PA 431, MCL 18.1101 to 18.1594.

Sec. 203. As used in this part and part 1:

(a) “AIDS” means acquired immunodeficiency syndrome.

(b) “CMHSP” means a community mental health services program as that term is defined in section 100a of the mental health code, 1974 PA 258, MCL 330.1100a.

(c) “CMS” means the Centers for Medicare and Medicaid Services.

(d) “Current fiscal year” means the fiscal year ending September 30, 2020.

(e) “Department” means the department of health and human services.

(f) “Director” means the director of the department.

(g) “DSH” means disproportionate share hospital.

(h) “EPSDT” means early and periodic screening, diagnosis, and treatment.

(i) “Federal poverty level” means the poverty guidelines published annually in the Federal Register by the United States Department of Health and Human Services under its authority to revise the poverty line under 42 USC 9902.

(j) “FTE” means full-time equated.

(k) “GME” means graduate medical education.

(l) “Health plan” means, at a minimum, an organization that meets the criteria for delivering the comprehensive package of services under the department’s comprehensive health plan.

(m) “HEDIS” means healthcare effectiveness data and information set.

(n) “HMO” means health maintenance organization.

(o) “IDEA” means the individuals with disabilities education act, 20 USC 1400 to 1482.

(p) “IDG” means interdepartmental grant.

(q) “MCH” means maternal and child health.

(r) “Medicaid” means subchapter XIX of the social security act, 42 USC 1396 to 1396w-5.

(s) “Medicare” means subchapter XVIII of the social security act, 42 USC 1395 to 1395lll.

(t) “MiCAFE” means Michigan’s coordinated access to food for the elderly.

(u) “MIChild” means the program described in section 1670 of this part.

(v) “MiSACWIS” means Michigan statewide automated child welfare information system.

(w) “PAS/ARR-OBRA” means the preadmission screening and annual resident review required under the omnibus budget reconciliation act of 1987, section 1919(e)(7) of the social security act, 42 USC 1396r.

(x) “PFAS” means perfluoroalkyl and polyfluoroalkyl substances.

(y) “PIHP” means an entity designated by the department as a regional entity or a specialty prepaid inpatient health plan for Medicaid mental health services, services to individuals with developmental disabilities, and substance use disorder services. Regional entities are described in section 204b of the mental health code, 1974 PA 258, MCL 330.1204b. Specialty prepaid inpatient health plans are described in section 232b of the mental health code, 1974 PA 258, MCL 330.1232b.

(z) “Previous fiscal year” means the fiscal year ending September 30, 2019.

(aa) “Quarterly reports” means 4 reports shall be submitted to the required recipients by the following dates: February 1, April 1, July 1, and September 30 of the current fiscal year.

(bb) “Semiannual basis” means March 1 and September 30 of the current fiscal year.

(cc) “Settlement” means the settlement agreement entered in the case of Dwayne B. v Snyder, docket no. 2:06-cv-13548 in the United States District Court for the Eastern District of Michigan.

(dd) “SSI” means supplemental security income.

(ee) “Temporary assistance for needy families” or “TANF” or “title IV-A” means part A of subchapter IV of the social security act, 42 USC 601 to 619.

(ff) “Title IV-B” means part B of title IV of the social security act, 42 USC 620 to 629m.

(gg) “Title IV-D” means part D of title IV of the social security act, 42 USC 651 to 669b.

(hh) “Title IV-E” means part E of title IV of the social security act, 42 USC 670 to 679c.

(ii) “Title X” means subchapter VIII of the public health service act, 42 USC 300 to 300a-8, which establishes grants to states for family planning services.

Sec. 204. Unless otherwise specified, the departments and agencies receiving appropriations in part 1 shall use the internet to fulfill the reporting requirements of this part and part 1. This requirement shall include transmission of reports via electronic mail to the recipients identified for each reporting requirement, and it shall include placement of reports on the internet.

Sec. 205. Funds appropriated in part 1 shall not be used for the purchase of foreign goods or services, or both, if competitively priced and of comparable quality American goods or services, or both, are available. Preference shall be given to goods or services, or both, manufactured or provided by Michigan businesses if they are competitively priced and of comparable quality. In addition, preference shall be given to goods or services, or both, that are manufactured or provided by Michigan businesses owned and operated by veterans if they are competitively priced and of comparable quality.

Sec. 206. The director shall take all reasonable steps to ensure businesses in deprived and depressed communities compete for and perform contracts to provide services or supplies, or both. Each director shall strongly encourage firms with which the department contracts to subcontract with certified businesses in depressed and deprived communities for services, supplies, or both.

Sec. 207. The departments and agencies receiving appropriations in part 1 shall prepare a report on out-of-state travel expenses not later than January 1 of each year. The travel report shall be a listing of all travel by classified and unclassified employees outside this state in the immediately preceding fiscal year that was funded in whole or in part with funds appropriated in the department’s budget. The report shall be submitted to the senate and house appropriations committees, the house and senate fiscal agencies, and the state budget director. The report shall include the following information:

(a) The dates of each travel occurrence.

(b) The transportation and related costs of each travel occurrence, including the proportion funded with state general fund/general purpose revenues, the proportion funded with state restricted revenues, the proportion funded with federal revenues, and the proportion funded with other revenues.

Sec. 209. Not later than November 30, the state budget office shall prepare and transmit a report that provides for estimates of the total general fund/general purpose appropriation lapses at the close of the prior fiscal year. This report shall summarize the projected year-end general fund/general purpose appropriation lapses by major departmental program or program areas. The report shall be transmitted to the chairpersons of the senate and house appropriations committees, and the senate and house fiscal agencies.

Sec. 210. (1) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $80,000,000.00 for federal contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393. These funds shall not be made available to increase TANF authorization.

(2) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $45,000,000.00 for state restricted contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(3) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $5,000,000.00 for local contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(4) In addition to the funds appropriated in part 1, there is appropriated an amount not to exceed $2,000,000.00 for private contingency funds. These funds are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 211. The department shall cooperate with the department of technology, management, and budget to maintain a searchable website accessible by the public at no cost that includes, but is not limited to, all of the following for each department or agency:

(a) Fiscal year-to-date expenditures by category.

(b) Fiscal year-to-date expenditures by appropriation unit.

(c) Fiscal year-to-date payments to a selected vendor, including the vendor name, payment date, payment amount, and payment description.

(d) The number of active department employees by job classification.

(e) Job specifications and wage rates.

Sec. 212. Within 14 days after the release of the executive budget recommendation, the department shall cooperate with the state budget office to provide the senate and house appropriations chairs, the senate and house appropriations subcommittees chairs, and the senate and house fiscal agencies with an annual report on estimated state restricted fund balances, state restricted fund projected revenues, and state restricted fund expenditures for the previous fiscal year and the current fiscal year.

Sec. 213. The department shall maintain, on a publicly accessible website, a department scorecard that identifies, tracks, and regularly updates key metrics that are used to monitor and improve the department’s performance.

Sec. 214. Total authorized appropriations from all sources under part 1 for legacy costs for the current fiscal year are estimated at $350,330,100.00. From this amount, total agency appropriations for pension-related legacy costs are estimated at $170,303,500.00. Total agency appropriations for retiree health care legacy costs are estimated at $180,026,600.00.

Sec. 215. If either of the following events occur, within 30 days the department shall notify the state budget director, the chairs of the house and senate appropriations subcommittees on the department budget, and the house and senate fiscal agencies and policy offices of that fact:

(a) A legislative objective of this part or of a bill or amendment to a bill to amend the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, cannot be implemented because implementation would conflict with or violate federal regulations.

(b) A federal grant, for which a notice of an award has been received, cannot be used, or will not be used.

Sec. 216. (1) In addition to funds appropriated in part 1 for all programs and services, there is appropriated for write‑offs of accounts receivable, deferrals, and for prior year obligations in excess of applicable prior year appropriations, an amount equal to total write-offs and prior year obligations, but not to exceed amounts available in prior year revenues.

(2) The department’s ability to satisfy appropriation fund sources in part 1 shall not be limited to collections and accruals pertaining to services provided in the current fiscal year, but shall also include reimbursements, refunds, adjustments, and settlements from prior years.

Sec. 217. (1) By February 1 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget director on the detailed name and amounts of estimated federal, restricted, private, and local sources of revenue that support the appropriations in each of the line items in part 1.

(2) Upon the release of the next fiscal year executive budget recommendation, the department shall report to the same parties in subsection (1) on the amounts and detailed sources of federal, restricted, private, and local revenue proposed to support the total funds appropriated in each of the line items in part 1 of the next fiscal year executive budget proposal.

Sec. 218. The department shall include, but not be limited to, the following in its annual list of proposed basic health services as required in part 23 of the public health code, 1978 PA 368, MCL 333.2301 to 333.2321:

(a) Immunizations.

(b) Communicable disease control.

(c) Sexually transmitted disease control.

(d) Tuberculosis control.

(e) Prevention of gonorrhea eye infection in newborns.

(f) Screening newborns for the conditions listed in section 5431 of the public health code, 1978 PA 368, MCL 333.5431, or recommended by the newborn screening quality assurance advisory committee created under section 5430 of the public health code, 1978 PA 368, MCL 333.5430.

(g) Health and human services annex of the Michigan emergency management plan.

(h) Prenatal care.

Sec. 219. (1) The department may contract with the Michigan Public Health Institute for the design and implementation of projects and for other public health-related activities prescribed in section 2611 of the public health code, 1978 PA 368, MCL 333.2611. The department may develop a master agreement with the Michigan Public Health Institute to carry out these purposes for up to a 3-year period. The department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget director on or before January 1 of the current fiscal year all of the following:

(a) A detailed description of each funded project.

(b) The amount allocated for each project, the appropriation line item from which the allocation is funded, and the source of financing for each project.

(c) The expected project duration.

(d) A detailed spending plan for each project, including a list of all subgrantees and the amount allocated to each subgrantee.

(2) On or before December 30 of the current fiscal year, the department shall provide to the same parties listed in subsection (1) a copy of all reports, studies, and publications produced by the Michigan Public Health Institute, its subcontractors, or the department with the funds appropriated in the department’s budget in the previous fiscal year and allocated to the Michigan Public Health Institute.

Sec. 220. The department shall ensure that faith-based organizations are able to apply and compete for services, programs, or contracts that they are qualified and suitable to fulfill. The department shall not disqualify faith-based organizations solely on the basis of the religious nature of their organization or their guiding principles or statements of faith.

Sec. 221. According to section 1b of the social welfare act, 1939 PA 280, MCL 400.1b, the department shall treat part 1 and this part as a time-limited addendum to the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b.

Sec. 222. (1) The department shall make the entire policy and procedures manual available and accessible to the public via the department website.

(2) The department shall report by April 1 of the current fiscal year on each specific policy change made to implement a public act affecting the department that took effect during the prior calendar year to the house and senate appropriations subcommittees on the budget for the department, the joint committee on administrative rules, the senate and house fiscal agencies, and policy offices. The department shall attach each policy bulletin issued during the prior calendar year to this report.

Sec. 223. The department may establish and collect fees for publications, videos and related materials, conferences, and workshops. Collected fees are appropriated when received and shall be used to offset expenditures to pay for printing and mailing costs of the publications, videos and related materials, and costs of the workshops and conferences. The department shall not collect fees under this section that exceed the cost of the expenditures. When collected fees are appropriated under this section in an amount that exceeds the current fiscal year appropriation, within 30 days the department shall notify the chairs of the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies and policy offices, and the state budget director of that fact.

Sec. 224. The department may retain all of the state’s share of food assistance overissuance collections as an offset to general fund/general purpose costs. Retained collections shall be applied against federal funds deductions in all appropriation units where department costs related to the investigation and recoupment of food assistance overissuances are incurred. Retained collections in excess of such costs shall be applied against the federal funds deducted in the departmental administration and support appropriation unit.

Sec. 225. (1) Sanctions, suspensions, conditions for provisional license status, and other penalties shall not be more stringent for private service providers than for public entities performing equivalent or similar services.

(2) Neither the department nor private service providers or licensees shall be granted preferential treatment or considered automatically to be in compliance with administrative rules based on whether they have collective bargaining agreements with direct care workers. Private service providers or licensees without collective bargaining agreements shall not be subjected to additional requirements or conditions of licensure based on their lack of collective bargaining agreements.

Sec. 226. If the revenue collected by the department from fees and collections exceeds the amount appropriated in part 1, the revenue may be carried forward with the approval of the state budget director into the subsequent fiscal year. The revenue carried forward under this section shall be used as the first source of funds in the subsequent fiscal year.

Sec. 227. The state departments, agencies, and commissions receiving tobacco tax funds and Healthy Michigan fund revenue from part 1 shall report by April 1 of the current fiscal year to the senate and house appropriations committees, the senate and house fiscal agencies, and the state budget director on the following:

(a) Detailed spending plan by appropriation line item including description of programs and a summary of organizations receiving these funds.

(b) Description of allocations or bid processes including need or demand indicators used to determine allocations.

(c) Eligibility criteria for program participation and maximum benefit levels where applicable.

(d) Outcome measures used to evaluate programs, including measures of the effectiveness of these programs in improving the health of Michigan residents.

Sec. 228. (1) If the department is authorized under state or federal law to collect an overpayment owed to the department, the department may assess a penalty of 1% per month beginning 60 days after notification. If caused by department error, a penalty may not be assessed until 6 months after the initial notification date of the overpayment amount. The department shall not collect penalty interest in an amount that exceeds the amount of the original overpayment. The state share of any funds collected under this section shall be deposited in the state general fund.

(2) By September 30 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office on penalty amounts assessed and paid by account during the current fiscal year, the reason for the penalty, and the current status of the account.

Sec. 229. (1) The department shall extend the interagency agreement with the Michigan talent investment agency for the duration of the current fiscal year, which concerns TANF funding to provide job readiness and welfare-to-work programming. The interagency agreement shall include specific outcome and performance reporting requirements as described in this section. TANF funding provided to the Michigan talent investment agency in the current fiscal year is contingent on compliance with the data and reporting requirements described in this section. The interagency agreement must require the Michigan talent investment agency to provide all of the following items by January 1 of the current fiscal year for the previous fiscal year to the senate and house appropriations subcommittees on the department budget and the state budget office:

(a) An itemized spending report on TANF funding, including all of the following:

(i) Direct services to recipients.

(ii) Administrative expenditures.

(b) The number of family independence program (FIP) recipients served through the TANF funding, including all of the following:

(i) The number and percentage who obtained employment through Michigan Works!

(ii) The number and percentage who fulfilled their TANF work requirement through other job readiness programming.

(iii) Average TANF spending per recipient.

(iv) The number and percentage of recipients who were referred to Michigan Works! but did not receive a job or job readiness placement and the reasons why.

(2) By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office an annual report on the following matters itemized by Michigan Works! agency: the number of referrals to Michigan Works! job readiness programs, the number of referrals to Michigan Works! job readiness programs who became a participant in the Michigan Works! job readiness programs, the number of participants who obtained employment, and the cost per participant case.

Sec. 230. By December 31 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies and policy offices, and the state budget office on the status of the implementation of any noninflationary, noncaseload, programmatic funding increases from the previous fiscal year. The report shall confirm the implementation of already implemented funding increases and provide explanations for any planned implementation of funding increases that have not yet occurred. For any planned implementation of funding increases that have not yet occurred, the department shall provide an expected implementation date and the reasons for delayed implementation.

Sec. 231. From the funds appropriated in part 1 for travel reimbursements to employees, the department shall allocate up to $100,000.00 toward reimbursing counties for the out-of-pocket travel costs of the local county department board members and county department directors to attend 1 meeting per year of the Michigan County Social Services Association.

Sec. 232. (1) The department shall provide the approved spending plan for each line item receiving an appropriation in the current fiscal year to the senate and house appropriations subcommittees on the department budget and the senate and house fiscal agencies within 60 days of approval by the department but not later than January 15 of the current fiscal year. The spending plan shall include the following information regarding planned expenditures for each category: allocation in the previous period, change in the allocation, and new allocation. The spending plan shall include the following information regarding each revenue source for the line item: category of the fund source indicated by general fund/general purpose, state restricted, local, private or federal. Figures included in the approved spending plan shall not be assumed to constitute the actual final expenditures, as line items may be updated on an as-needed basis to reflect changes in projected expenditures and projected revenue. The department shall supplement the spending plan information by providing a list of all active contracts and grants in the department’s contract system. For amounts listed in the other contracts category of each spending plan, the department shall provide a list of all contracts and grants and amounts for the current fiscal year, and include the name of the line item and the name of the fund source related to each contract or grant and amount. For amounts listed in the all other costs category of each spending plan, the department shall provide a list detailing planned expenditures and amounts for the current fiscal year, and include the name of the line item and the name of the fund source related to each amount and expenditure.

(2) Notwithstanding any other appropriation authority granted in part 1, the department shall not appropriate any additional general fund/general purpose funds or any related federal and state restricted funds without providing a written 30-day notice to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices.

Sec. 240. Appropriations in part 1 shall not be expended in cases where existing work project authorization is available for the same expenditures.

Sec. 251. On a monthly basis, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office on any line-item appropriation for which the department estimates total annual expenditures would exceed the funds appropriated for that line-item appropriation by 5% or more. The department shall provide a detailed explanation for any relevant line-item appropriation exceedance and shall identify the corrective actions undertaken to mitigate line-item appropriation expenditures from exceeding the funds appropriated for that line-item appropriation by a greater amount. This section does not apply for line-item appropriations that are part of the May revenue estimating conference caseload and expenditure estimates.

Sec. 252. The appropriations in part 1 for Healthy Michigan plan - behavioral health, Healthy Michigan plan administration, and Healthy Michigan plan are contingent on the provisions of the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b, that were contained in 2013 PA 107 not being amended, repealed, or otherwise altered to eliminate the Healthy Michigan plan. If that occurs, then, upon the effective date of the amendatory act that amends, repeals, or otherwise alters those provisions, the remaining funds in the Healthy Michigan plan - behavioral health, Healthy Michigan plan administration, and Healthy Michigan plan line items shall only be used to pay previously incurred costs and any remaining appropriations shall not be allotted to support those line items.

Sec. 253. (1) The department shall implement information technology investment management practices that use recommendations from the office of the auditor general audit number 071-0550-17. The department shall form a department-based information technology investment board (IT investment board). The IT investment board shall include the director, the deputy director with information technology responsibilities, the deputy director with budgetary and financial responsibilities, and senior leadership from each administration or agency within the department that uses a system or program that is included in the funds appropriated in part 1. The IT investment board shall create a board charter that directs the department’s information technology investment management practices. The IT investment board, in consultation with the department of technology, management, and budget, shall implement an appropriate governance framework such as “Information Technology Investment Management: A Framework for Assessing and Improving Process Maturity” from the United States Government Accountability Office or “Val IT Framework” from the IT Governance Institute as the policy for the department’s information technology investment decisions. The department, in consultation with the IT investment board, shall develop policies that include, but are not limited to, the following:

(a) The roles and responsibilities that department staff have in making information technology investment decisions.

(b) The criteria, policies, and best practices for selecting, controlling, and evaluating information technology investments. The criteria, policies, and best practices shall include a return on investment to evaluate the funds appropriated in part 1 for information technology.

(c) The authority the department has in determining information technology investment decisions that are not made within the department of technology, management, and budget.

(d) Policies to manage information technology investment decisions that have a high cost or are considered a high risk to the department to reduce the possibility that information technology expenditures will exceed the funds appropriated in part 1 for information technology.

(2) By January 1 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices, a report with a copy of the IT investment board charter and a list of all information technology projects in which the funds appropriated in part 1 exceed $250,000.00 for the current fiscal year.

(3) By September 30 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices, a report, for any information technology project in which the funds appropriated in part 1 exceed $250,000.00 for the current fiscal year, on the business needs met by each project, the selection process used to select the project, the documentation of the IT investment board oversight and approval of the project, total project development cost, total project operational and maintenance cost, total state cost, total contractor cost, total nonlabor cost, and the total cost of ownership of the project through the current fiscal year.

(4) From the funds appropriated in part 1 and all available federal funds for information technology services and projects, the department shall contract with an independent verification and validation program to address the increasing information technology cost and to ensure that information technology contracts are meeting the policies and objectives stated in subsection (1). By January 1 of the current fiscal year, the department shall institute an independent verification and validation program by using a third-party vendor who has been approved on the state’s financial accounting and auditing services prequalification program. The independent verification and validation program vendor that is selected to perform independent verification and validation services shall not be involved in the development of software or systems that are used by the department or are under consideration to be used by the department. The independent verification and validation program vendor selected shall have experience in a variety of information technology development methodologies such as waterfall, agile, and scale agile. The vendor selected shall apply information technology industry audit standards and audit credentials and shall have an established advisory business unit.

(5) The independent verification and validation program shall be applied to information technology projects that have funds appropriated in part 1 with a contract value greater than $250,000.00 in the current fiscal year that meet at least 1 of the following criteria:

(a) The project spans across more than 1 administration or agency.

(b) The project involves multiple vendors.

(c) The project has an accelerated schedule.

(d) The impact is high if the project were to fail or be delayed.

(6) The independent verification and validation program shall design compliance of program governance, project management, and technical delivery requirements.

(7) By May 1 of the current fiscal year, the department, along with the selected independent verification and validation vendor, shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and senate and house policy offices on an assessment of the findings of the independent verification and validation program and recommendations for improvements. The report shall include, but not be limited to, the following items:

(a) Compliance with federal reporting requirements.

(b) Demonstration of earlier identification and resolution of project risks.

(c) The capacity to achieve a positive return on investment from information technology investments.

(d) The potential for accelerated time to benefit realization and increased benefit sustainability.

(e) Improved transparency of information technology project benefits and financial measures.

(f) A reduction in variability in the development and system integration process that will lead to more predictable outcomes of information technology expenditures and information technology project performance.

(g) Identification and transfer of leading industry practices for improved effectiveness and efficiency.

Sec. 256. If funds become available, the department shall, in consultation with the Michigan department of education, the Michigan domestic and sexual violence prevention and treatment board, and the Michigan Coalition to End Domestic and Sexual Violence, redraft the curriculum for the “Growing Up & Staying Healthy” and “Healthy & Responsible Relationships” modules to include age-appropriate information about the importance of consent, setting and respecting personal boundaries, and the prevention of child sexual abuse as outlined in MCL 380.1505 and consistent with the recommendations and guidelines set by the task force on the prevention of sexual abuse of children created under section 12b of the child protection law, 1975 PA 238, MCL 722.632b, and the prevention of sexual assault and dating violence.

Sec. 257. If funds become available, the department shall, in consultation with the department of education, the American Foundation of Suicide Prevention, the National Alliance on Mental Illness, the Michigan Psychiatric Society, the Community Mental Health Association, and members of law enforcement, redraft the curriculum for the “Safe and Sound for Life” and “Social & Emotional Health” modules to include age-appropriate and medically accurate information about the warning signs and risk factors for suicide and depression, and the protective factors that help prevent suicide as outlined in section 1171 of the revised school code, 1976 PA 451, MCL 380.1171.

Sec. 263. (1) Except as otherwise provided in this subsection, before submission of a waiver, a state plan amendment, or a similar proposal to CMS or other federal agency, the department shall provide written notification of the planned submission to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies and policy offices, and the state budget office. This subsection does not apply to the submission of a waiver, a state plan amendment, or similar proposal that does not propose a material change or is outside of the ordinary course of waiver, state plan amendment, or similar proposed submissions.

(2) The department shall provide written reports on a semiannual basis to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office summarizing the status of any new or ongoing discussions with CMS or the United States Department of Health and Human Services or other federal agency regarding potential or future waiver applications as well as the status of submitted waivers that have not yet received federal approval. If, at the time a semiannual report is due, there are no reportable items, then no report is required to be provided.

Sec. 264. The department shall not take disciplinary action against an employee for communicating with a member of the legislature or his or her staff.

Sec. 270. The department shall advise the legislature of the receipt of a notification from the attorney general’s office of a legal action in which expenses had been recovered according to section 106(6) of the social welfare act, 1939 PA 280, MCL 400.106. By February 1 of the current fiscal year, the department shall submit a written report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office that includes, at a minimum, all of the following:

(a) The total amount recovered from the legal action.

(b) The program or service for which the money was originally expended.

(c) Details on the disposition of the funds recovered such as the appropriation or revenue account in which the money was deposited.

(d) A description of the facts involved in the legal action.

Sec. 274. (1) The department, in collaboration with the state budget office, shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices 1 week after the day the governor submits to the legislature the budget for the ensuing fiscal year a report on spending and revenue projections for each of the capped federal funds listed below. The report shall contain actual spending and revenue in the previous fiscal year, spending and revenue projections for the current fiscal year as enacted, and spending and revenue projections within the executive budget proposal for the fiscal year beginning October 1, 2020 for each individual line item for the department budget. The report shall also include federal funds transferred to other departments. The capped federal funds shall include, but not be limited to, all of the following:

(a) TANF.

(b) Title XX social services block grant.

(c) Title IV-B part I child welfare services block grant.

(d) Title IV-B part II promoting safe and stable families funds.

(e) Low-income home energy assistance program.

(2) It is the intent of the legislature that the department, in collaboration with the state budget office, not utilize capped federal funding for economics adjustments for FTEs or other economics costs that are included as part of the budget submitted to the legislature by the governor for the ensuing fiscal year, unless there is a reasonable expectation for increased federal funding to be available to the department from that capped revenue source in the ensuing fiscal year.

(3) By February 15 of the current fiscal year, the department shall prepare an annual report of its efforts to identify TANF maintenance of effort sources and rationale for any increases or decreases from all of the following, but not limited to:

(a) Other departments.

(b) Local units of government.

(c) Private sources.

Sec. 275. (1) As part of the year-end closing process, the department, with the approval of the state budget director, is authorized to realign sources between other federal, TANF, and capped federal financing authorizations in order to maximize federal revenues. This realignment of financing shall not produce a gross increase or decrease in the department’s total individual line item authorizations, nor will it produce a net increase or decrease in total federal revenues, or a net increase in TANF authorization.

(2) Within 30 days after the date on which year-end book closing is completed, the department shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices a report on the realignment of federal fund sources that took place as part of the year-end closing process for the previous fiscal year.

Sec. 280. By March 1 of the current fiscal year, the department shall provide a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget director that provides all of the following for each line item in part 1 containing personnel-related costs, including the specific individual amounts for salaries and wages, payroll taxes, and fringe benefits:

(a) FTE authorization.

(b) Spending authorization for personnel-related costs, by fund source, under the spending plan.

(c) Actual year-to-date expenditures for personnel-related costs, by fund source, through the end of the prior month.

(d) The projected year-end balance or shortfall for personnel-related costs, by fund source, based on actual monthly spending levels through the end of the prior month.

(e) A specific plan for addressing any projected shortfall for personnel-related costs at either the gross or fund source level.

Sec. 288. (1) Beginning October 1 of the current fiscal year, no less than 90% of a new department contract supported solely from state restricted funds or general fund/general purpose funds and designated in this part or part 1 for a specific entity for the purpose of providing services to individuals shall be expended for such services after the first year of the contract.

(2) The department may allow a contract to exceed the limitation on administrative and services costs if it can be demonstrated that an exception should be made to the provision in subsection (1).

(3) By September 30 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on the department budget, house and senate fiscal agencies, and state budget office on the rationale for all exceptions made to the provision in subsection (1) and the number of contracts terminated due to violations of subsection (1).

Sec. 289. By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices an annual report on the supervisor-to-staff ratio by department divisions and subdivisions.

Sec. 290. Any public advertisement for public assistance shall also inform the public of the welfare fraud hotline operated by the department.

Sec. 293. Any savings resulting from pilot projects or demonstration models that consist of service level integration of Medicaid behavioral health and Medicaid physical health services or financial integration of Medicaid behavioral health and Medicaid physical health services, shall only be used for reinvestment in the pilot project sites where the savings occurred in accordance with the Medicaid state plan and any applicable Medicaid waiver, and shall not be used for any other purpose by the department. Shared savings between a PIHP or CMHSP and a Medicaid health plan shall be carried forward for expenditures in future years, unrestricted by current internal service fund caps.

Sec. 294. (1) The department may work with PIHPs and CMHSPs to create a physical and behavioral health integrated service demonstration pilot without public funds being transferred to for-profit Medicaid health plans. The pilot is not contingent on approval of a section 1115 waiver from CMS.

(2) The pilot program, to achieve integrated practices in Michigan, shall demonstrate a successful expansion of existing local and statewide integrated efforts as currently mandated by the department, and shall continue to include care coordination, risk stratification, data sharing, and health care technology. This contractual mandate by the department shall include shared care coordination between PIHP and Medicaid health plans for individuals served by both entities. Care coordination shall be made possible by using health-related information maintained through the department’s Care Connect 360 platform and health information exchanges. The PIHP and Medicaid health plans shall meet monthly, as required by the department, to review health information of all jointly served individuals. From this group, those individuals with the greatest level of need shall be identified to receive joint care coordination. The PIHP and Medicaid health plans shall collaborate to develop a shared care plan for each of these individuals.

(3) It is the intent of the legislature that the pilot program shall be designed to last at least 2 years.

(4) The pilot shall increase the number of individuals who meet criteria for expanded care coordination for all individuals on the stratification list provided by the department via the Care Connect 360 platform. In addition, the pilot program shall expand the focus of care coordination to include anyone who is identified as not receiving the health care services as identified by HEDIS, including, but not limited to, the following:

(a) Follow-up after hospitalization.

(b) Plan all cause readmission.

(c) Diabetes screening for people with schizophrenia or bi-polar disorder who are using antipsychotic medications.

(5) The primary purpose of the pilot program is to test how the state may better integrate behavioral and physical health delivery systems in order to improve behavioral and physical health outcomes, maximize efficiencies, minimize unnecessary costs, and achieve material increases in behavioral health services without increases in overall Medicaid spending. Specific outcome measurements of the pilot program shall include, but are not limited to, all of the following:

(a) Decreased emergency room visits.

(b) Decreased hospitalizations.

(c) Increased primary care or preventative services.

(d) Increased stable housing.

(e) Increased competitive employment.

(f) Improved HEDIS scores for the measures listed in subsection (4).

(6) Within 90 days after completion of the pilot program advanced under this section, the PIHP or CMHSP and Medicaid health plans shall submit a joint report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office detailing their experiences, lessons learned, the outcomes of the measurements in subsection (5), any efficiencies and savings revealed for the PIHP or CMHSP and the Medicaid health plans, and any increases in investment on behavioral health services from the PIHP or CMHSP and the Medicaid health plans.

Sec. 295. (1) From the funds appropriated in part 1 to agencies providing physical and behavioral health services to multicultural populations, the department shall award grants in accordance with the requirements of subsection (2). The state is not liable for any spending above the contract amount. Funds shall not be released until reporting requirements under section 295 of article X of 2018 PA 207 are satisfied.

(2) The department shall require each contractor described in subsection (1) that receives greater than $1,000,000.00 in state grant funding to comply with performance-related metrics to maintain their eligibility for funding. The organizational metrics shall include, but not be limited to, all of the following:

(a) Each contractor or subcontractor shall have accreditations that attest to their competency and effectiveness as behavioral health and social service agencies.

(b) Each contractor or subcontractor shall have a mission that is consistent with the purpose of the multicultural agency.

(c) Each contractor shall validate that any subcontractors utilized within these appropriations share the same mission as the lead agency receiving funding.

(d) Each contractor or subcontractor shall demonstrate cost-effectiveness.

(e) Each contractor or subcontractor shall ensure their ability to leverage private dollars to strengthen and maximize service provision.

(f) Each contractor or subcontractor shall provide timely and accurate reports regarding the number of clients served, units of service provision, and ability to meet their stated goals.

(3) The department shall require an annual report from the contractors described in subsection (2). The annual report, due 60 days following the end of the contract period, shall include specific information on services and programs provided, the client base to which the services and programs were provided, information on any wraparound services provided, and the expenditures for those services. The department shall provide the annual reports to the senate and house appropriations subcommittees on health and human services, the senate and house fiscal agencies, and the state budget office.

Sec. 296. From the funds appropriated in part 1, the department is responsible for the necessary and reasonable attorney fees and costs incurred by private and independent legal counsel chosen by current and former classified and unclassified department employees in the defense of the employees in any state or federal lawsuit or investigation related to the water system in a city or community in which a declaration of emergency was issued because of drinking water contamination.

Sec. 297. On a semiannual basis, the department shall report on the number of FTEs in pay status by type of staff. The report shall include a comparison by line item of the number of FTEs authorized from funds appropriated in part 1 to the actual number of FTEs employed by the department at the end of the reporting period.

Sec. 298. (1) The department shall implement up to 3 pilot projects to achieve fully financially integrated Medicaid behavioral health and physical health benefit and financial integration demonstration models. These demonstration models shall use single contracts between the state and each licensed Medicaid health plan that is currently contracted to provide Medicaid services in the geographic area of the pilot project. The department shall ensure that the pilot projects described in this subsection are implemented in a manner that ensures at least all of the following:

(a) That allows the CMHSP in the geographic area of the pilot project to be a provider of behavioral health supports and services. At the Medicaid health plan’s discretion, the plan may also contract directly with a behavioral health service provider as long as both of the following conditions are met:

(i) The contracted provider complies with all licensing laws and regulations applicable to the provider’s practice or business in this state including, but not limited to, article 15 of the public health code, 1978 PA 368, MCL 333.16101 to 333.18838, and article 17 of the public health code, 1978 PA 368, MCL 333.20101 to 333.22260, and is not currently excluded from participating in Medicaid by state or federal sanction.

(ii) The Medicaid health plan meets all existing network adequacy requirements for behavioral health services and supports.

(b) A Medicaid health plan may retain all functions related to its accreditation with the National Committee for Quality Assurance. At the discretion of the Medicaid health plan, the plan may delegate a function that is related to its accreditation to another entity.

(c) That any changes made to a Medicaid waiver or Medicaid state plan to implement the pilot projects described in this subsection must only be in effect for the duration of the pilot programs established under section 298 of article X of 2016 PA 268.

(d) That the project is consistent with the stated core values as identified in the final report of the workgroup established in section 298 of article X of 2016 PA 268.

(e) That updates are provided to the medical care advisory council, behavioral health advisory council, and developmental disabilities council.

(2) It is the intent of the legislature that each pilot project and demonstration model shall be designed to last at least 3 years. It is the intent of the legislature that by January 31, 2022, the department shall provide a document to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office of the results of measures developed in conjunction with the Medicaid health plans and CMHSPs participating in the pilot program described in subsection (1) that, if met, would trigger a full statewide, all managed care populations’ integration process beginning October 1, 2023. The measures developed by the department, Medicaid health plans, and CMHSPs must include, at a minimum, performance metrics from each of the following categories:

(a) Improvement of the coordination between behavioral health and physical health.

(b) Improvement of services available to individuals with mental illness, intellectual or developmental disabilities, or substance use disorders.

(c) Benefits associated with full access to community-based services and supports.

(d) Beneficiary health status.

(e) Beneficiary satisfaction.

(f) Provider network stability.

(g) Treatment and service efficacies before and during the pilot programs and demonstration pilot, including utilization measures.

(h) Use of best practices.

(i) Financial efficiencies.

(j) Barriers to clinical data sharing between CMHSPs and Medicaid health plans.

(k) Any other relevant categories.

(3) For the duration of any pilot projects and demonstration model, the department shall require that all realized benefits and cost savings of integrating the physical health and behavioral health systems shall be reinvested in services and supports for individuals having or at risk of having a mental illness, an intellectual or developmental disability, or a substance use disorder. The department, in conjunction with the Medicaid health plans, shall create a risk corridor. The department shall ensure that rates paid to the Medicaid health plans are actuarially sound. After accounting for implementation costs of the pilot project, the department shall ensure savings are reinvested in the pilot site where the savings occurred in accordance with the Medicaid state plan and any applicable Medicaid waiver.

(4) It is the intent of the legislature that the primary purpose of the pilot projects and demonstration model is to test how the state may better integrate behavioral and physical health delivery systems in order to improve behavioral and physical health outcomes, maximize efficiencies, minimize unnecessary costs, and achieve material increases in behavioral health services without increases in overall Medicaid spending.

(5) The department shall continue to partner with 1 of the state’s research universities at least 6 months before the completion of each pilot project or demonstration model authorized under this section to evaluate the pilot project or demonstration model. The evaluation must include all of the following:

(a) Information on the pilot project’s or demonstration model’s success in meeting the performance metrics developed in this subsection and information on whether the pilot project could be replicated into other geographic areas with similar performance metric outcomes.

(b) Performance metrics, at a minimum, from each of the following categories:

(i) Improvement of the coordination between behavioral health and physical health.

(ii) Improvement of services available to individuals with mental illness, intellectual or developmental disabilities, or substance use disorders.

(iii) Benefits associated with full access to community-based services and supports.

(iv) Beneficiary health status.

(v) Beneficiary satisfaction.

(vi) Provider network stability.

(vii) Treatment and service efficacies before and after the pilot projects and demonstration model.

(viii) Use of best practices.

(ix) Financial efficiencies.

(x) Barriers to clinical data sharing with Medicaid health plans.

(xi) Any other relevant categories.

(c) A requirement that the evaluation shall be completed within 6 months after the end of each pilot project or demonstration model and will be provided to the department, the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office.

(6) By November 1 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on the progress toward implementation of the pilot projects and demonstration model described in this section, and a summary of all projects. The report shall also include information on policy changes and any other efforts made to improve the coordination of supports and services for individuals having or at risk of having a mental illness, an intellectual or developmental disability, a substance use disorder, or a physical health need.

(7) Upon completion of any pilot project or demonstration model advanced under this section, the managing entity of the pilot project or demonstration model shall submit a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office within 30 days of completion of that pilot project or demonstration model detailing their experience, lessons learned, efficiencies and savings revealed, increases in investment on behavioral health services, and recommendations for extending pilot projects to full implementation or discontinuation.

Sec. 299. (1) No state department or agency shall issue a request for proposal (RFP) for a contract in excess of $5,000,000.00, unless the department or agency has first considered issuing a request for information (RFI) or a request for qualification (RFQ) relative to that contract to better enable the department or agency to learn more about the market for the products or services that are the subject of the RFP. The department or agency shall notify the department of technology, management, and budget of the evaluation process used to determine if an RFI or RFQ was not necessary prior to issuing the RFP.

(2) From funds appropriated in part 1, for all RFPs issued during the current fiscal year where an existing service received proposals by multiple vendors, the department shall notify all vendors within 30 days of the RFP decision. The notification to vendors shall include details on the RFP process, including the respective RFP scores and the respective cost for each vendor. If the highest scored RFP or lowest cost RFP does not receive the contract for an existing service offered by the department, the notification shall issue an explanation for the reasons that the highest scored RFP or lowest cost RFP did not receive the contract and detail the incremental cost target amount or service level required that was required to migrate the service to a new vendor. Additionally, the department shall include in the notification details as to why a cost or service difference is justifiable if the highest scored or lowest cost vendor does not receive the contract.

(3) The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by September 30 of the current fiscal year, a report that includes the following:

(a) A summary of all RFPs issued for a contract in excess of $5,000,000.00 including whether an RFI or RFQ was considered, and whether an RFI or RFQ was issued before issuing the RFP or whether the issuance of an RFI or RFQ was determined not to be necessary.

(b) A summary of all RFPs during the current fiscal year if an existing service received proposals by multiple vendors.

(c) A list of all finalized RFPs if there was a divergence from awarding the contract to the lowest-cost or highest-scoring vendor, and details as to why a divergence is justifiable as provided in the notification to vendors under subsection (2).

(d) The cost or service threshold required by department policy that must be satisfied in order for an existing contract to be received by a new vendor.

DEPARTMENTAL ADMINISTRATION AND SUPPORT

Sec. 307. (1) From the funds appropriated in part 1 for demonstration projects, $950,000.00 shall be distributed as provided in subsection (2). The amount distributed under this subsection shall not exceed 50% of the total operating expenses of the program described in subsection (2), with the remaining 50% paid by local United Way organizations and other nonprofit organizations and foundations.

(2) Funds distributed under subsection (1) shall be distributed to Michigan 2-1-1, a nonprofit corporation organized under the laws of this state that is exempt from federal income tax under section 501(c)(3) of the internal revenue code of 1986, 26 USC 501, and whose mission is to coordinate and support a statewide 2-1-1 system. Michigan 2-1-1 shall use the funds only to fulfill the Michigan 2-1-1 business plan adopted by Michigan 2-1-1 in January 2005.

(3) Michigan 2-1-1 shall refer to the department any calls received reporting fraud, waste, or abuse of state‑administered public assistance.

(4) Michigan 2-1-1 shall report annually to the department and the house and senate standing committees with primary jurisdiction over matters relating to human services and telecommunications on 2-1-1 system performance, the senate and house appropriations subcommittees on the department budget, and the senate and house fiscal agencies, including, but not limited to, call volume by health and human service needs and unmet needs identified through caller data and number and percentage of callers referred to public or private provider types.

Sec. 316. From the funds appropriated in part 1 for terminal leave payments, the department shall not spend in excess of its annual gross appropriation unless it identifies and requests a legislative transfer from another budgetary line item supporting administrative costs, as provided by section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

CHILD SUPPORT ENFORCEMENT

Sec. 401. (1) The appropriations in part 1 assume a total federal child support incentive payment of $26,000,000.00.

(2) From the federal money received for child support incentive payments, $11,500,000.00 shall be retained by the state and expended for child support program expenses.

(3) From the federal money received for child support incentive payments, $14,500,000.00 shall be paid to the counties based on each county’s performance level for each of the federal performance measures as established in 45 CFR 305.2.

(4) If the child support incentive payment to the state from the federal government is greater than $26,000,000.00, then 100% of the excess shall be retained by the state and is appropriated until the total retained by the state reaches $15,397,400.00.

(5) If the child support incentive payment to the state from the federal government is greater than the amount needed to satisfy the provisions identified in subsections (1), (2), (3), and (4), the additional funds shall be subject to appropriation by the legislature.

(6) If the child support incentive payment to the state from the federal government is less than $26,000,000.00, then the state and county share shall each be reduced by 50% of the shortfall.

Sec. 409. (1) If statewide retained child support collections exceed $38,300,000.00, 75% of the amount in excess of $38,300,000.00 is appropriated to legal support contracts. This excess appropriation may be distributed to eligible counties to supplement and not supplant county title IV-D funding.

(2) Each county whose retained child support collections in the current fiscal year exceed its fiscal year 2004-2005 retained child support collections, excluding tax offset and financial institution data match collections in both the current fiscal year and fiscal year 2004-2005, shall receive its proportional share of the 75% excess.

Sec. 410. (1) If title IV-D-related child support collections are escheated, the state budget director is authorized to adjust the sources of financing for the funds appropriated in part 1 for legal support contracts to reduce federal authorization by 66% of the escheated amount and increase general fund/general purpose authorization by the same amount. This budget adjustment is required to offset the loss of federal revenue due to the escheated amount being counted as title IV-D program income in accordance with federal regulations at 45 CFR 304.50.

(2) The department shall notify the chairs of the house and senate appropriations subcommittees on the department budget and the house and senate fiscal agencies within 15 days of the authorization adjustment in subsection (1).

COMMUNITY SERVICES AND OUTREACH

Sec. 450. (1) From the funds appropriated in part 1 for school success partnership program, the department shall allocate $525,000.00 by December 1 of the current fiscal year to support the Northeast Michigan Community Service Agency programming. The department shall require the following performance objectives be measured and reported for the duration of the state funding for the school success partnership program:

(a) Increasing school attendance and decreasing chronic absenteeism.

(b) Increasing academic performance based on grades with emphasis on math and reading.

(c) Identifying barriers to attendance and success and connecting families with resources to reduce these barriers.

(d) Increasing parent involvement with the parent’s child’s school and community.

(2) By July 15 of the current fiscal year, the Northeast Michigan Community Service Agency shall provide reports to the department on the number of children and families served and the services that were provided to families to meet the performance objectives identified in this section. The department shall distribute the reports within 1 week after receipt to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office.

Sec. 452. From the funds appropriated in part 1 for crime victim justice assistance grants, the department shall continue to support forensic nurse examiner programs to facilitate training for improved evidence collection for the prosecution of sexual assault. The funds shall be used for program coordination and training.

Sec. 453. (1) From the funds appropriated in part 1 for homeless programs, the department shall maintain emergency shelter program per diem rates at $18.00 per bed night to support efforts of shelter providers to move homeless individuals and households into permanent housing as quickly as possible. Expected outcomes are increased shelter discharges to stable housing destinations, decreased recidivism rates for shelter clients, and a reduction in the average length of stay in emergency shelters.

(2) By March 1 of the current fiscal year, the department shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office a report on the total amount expended for the program in the previous year, as well as the total number of shelter nights provided and the average length of stay in an emergency shelter.

Sec. 454. The department shall allocate the full amount of funds appropriated in part 1 for homeless programs to provide services for homeless individuals and families, including, but not limited to, third-party contracts for emergency shelter services.

Sec. 455. As a condition of receipt of federal TANF funds, homeless shelters and human services agencies shall collaborate with the department to obtain necessary TANF eligibility information on families as soon as possible after admitting a family to the homeless shelter. From the funds appropriated in part 1 for homeless programs, the department is authorized to make allocations of TANF funds only to the homeless shelters and human services agencies that report necessary data to the department for the purpose of meeting TANF eligibility reporting requirements. Homeless shelters or human services agencies that do not report necessary data to the department for the purpose of meeting TANF eligibility reporting requirements will not receive reimbursements that exceed the per diem amount they received in fiscal year 2000. The use of TANF funds under this section is not an ongoing commitment of funding.

Sec. 456. From the funds appropriated in part 1 for homeless programs, the department shall allocate $90,000.00 to reimburse public service agencies that provide documentation of paying birth certificate fees on behalf of category 1 homeless clients at county clerk’s offices. Public service agencies shall be reimbursed for the cost of the birth certificate fees quarterly until this allocation is fully spent.

Sec. 457. (1) From the funds appropriated in part 1 for the uniform statewide sexual assault evidence kit tracking system, in accordance with the final report of the Michigan sexual assault evidence kit tracking and reporting commission, $800,000.00 is allocated from the sexual assault evidence tracking fund to contract for the administration of a uniform statewide sexual assault evidence kit tracking system. The system shall include the following:

(a) A uniform statewide system to track the submission and status of sexual assault evidence kits.

(b) A uniform statewide system to audit untested kits that were collected on or before March 1, 2015 and were released by victims to law enforcement.

(c) Secure electronic access for victims.

(d) The ability to accommodate concurrent data entry with kit collection through various mechanisms, including web entry through computer or smartphone, and through scanning devices.

(2) By March 30 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a status report on the administration of the uniform statewide sexual assault evidence kit tracking system, including operational status and any known issues regarding implementation.

(3) The sexual assault evidence tracking fund established in section 1451 of 2017 PA 158 shall continue to be maintained in the department of treasury. Money in the sexual assault evidence tracking fund at the close of a fiscal year shall remain in the sexual assault evidence tracking fund and shall not revert to the general fund and shall be appropriated as provided by law for the development and implementation of a uniform statewide sexual assault evidence kit tracking system as described in subsection (1).

(4) By September 30 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a report on the findings of the annual audit of the proper submission of sexual assault evidence kits as required by the sexual assault kit evidence submission act, 2014 PA 227, MCL 752.931 to 752.935. The report must include, but is not limited to, a detailed county-by-county compilation of the number of sexual assault evidence kits that were properly submitted and the number that met or did not meet deadlines established in the sexual assault kit evidence submission act, 2014 PA 227, MCL 752.931 to 752.935, the number of sexual assault evidence kits retrieved by law enforcement after analysis, and the physical location of all released sexual assault evidence kits collected by health care providers in that year, as of the date of the annual draft report for each reporting agency.

Sec. 458. From the funds appropriated in part 1 for crime victim rights services grants, the department shall allocate $2,000,000.00 of crime victim’s rights fund to maintain increased grant funding to support the further use of crime victim advocates in the criminal justice system. The purpose of the additional funding is to increase available grant funding for crime victim advocates to ensure that the advocates have the resources, training, and funding needed to respond to the physical and emotional needs of crime victims and to provide victims with the necessary services, information, and assistance in order to help them understand and participate in the criminal justice system and experience a measure of safety and security throughout the legal process.

Sec. 459. From the funds appropriated in part 1 for child advocacy centers, $1,000,000.00 shall be allocated to provide additional funding to child advocacy centers to support the general operations of child advocacy centers. The purpose of this additional funding is to increase the amount of services provided to children and their families who are victims of abuse over the amount provided in the previous fiscal year. None of the additional funding directed in this section shall be used for purposes other than those described under section 4 of the children’s advocacy center act, 2008 PA 544, MCL 722.1044.

CHILDREN’S SERVICES AGENCY - CHILD WELFARE

Sec. 501. (1) A goal is established that not more than 25% of all children in foster care at any given time during the current fiscal year, if in the best interest of the child, will have been in foster care for 24 months or more.

(2) By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a report describing the steps that will be taken to achieve the specific goal established in this section and on the percentage of children who currently are in foster care and who have been in foster care a total of 24 or more months.

Sec. 502. From the funds appropriated in part 1 for foster care, the department shall provide 50% reimbursement to Indian tribal governments for foster care expenditures for children who are under the jurisdiction of Indian tribal courts and who are not otherwise eligible for federal foster care cost sharing.

Sec. 503. (1) In accordance with the final report of the Michigan child welfare performance-based funding task force issued in response to section 503 of article X of 2013 PA 59, the department shall continue to review, update, or develop actuarially sound case rates for necessary child welfare foster care case management services that achieve permanency by the department and private child placing agencies in a prospective payment system under a performance-based funding model.

(2) By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations committees on the department budget, the senate and house fiscal agencies and policy offices, and the state budget office a report on the full cost analysis of the performance-based funding model. The report shall include background information on the project and give details about the contractual costs covered through the case rate.

(3) In accordance with the final report of the Michigan child welfare performance-based funding task force issued in response to section 503 of article X of 2013 PA 59, the department shall continue an independent, third-party evaluation of the performance-based funding model.

(4) The department shall only implement the performance-based funding model into additional counties where the department, private child welfare agencies, the county, and the court operating within that county have signed a memorandum of understanding that incorporates the intentions of the concerned parties in order to implement the performance-based funding model.

(5) The department, in conjunction with members from both the house of representatives and senate, private child placing agencies, the courts, and counties shall continue to implement the recommendations that are described in the workgroup report that was provided in section 503 of article X of 2013 PA 59 to establish a performance-based funding for public and private child welfare services providers. The department shall provide quarterly reports on the status of the performance-based contracting model to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on families and human services, and the senate and house fiscal agencies and policy offices.

(6) From the funds appropriated in part 1 for the performance-based funding model pilot, the department shall continue to work with the West Michigan Partnership for Children Consortium on the implementation of the performance-based funding model pilot. The consortium shall accept and comprehensively assess referred youth, assign cases to members of its continuum or leverage services from other entities, and make appropriate case management decisions during the duration of a case. The consortium shall operate an integrated continuum of care structure, with services provided by both private and public agencies, based on individual case needs. The consortium shall demonstrate significant organizational capacity and competencies, including experience with managing risk-based contracts, financial strength, experienced staff and leadership, and appropriate governance structure.

Sec. 504. (1) The department may continue a master agreement with the West Michigan Partnership for Children Consortium for a performance-based child welfare contracting pilot program. The consortium shall consist of a network of affiliated child welfare service providers that will accept and comprehensively assess referred youth, assign cases to members of its continuum or leverage services from other entities, and make appropriate case management decisions during the duration of a case.

(2) The consortium shall operate an integrated continuum of care structure, with services provided by private or public agencies, based on individual case needs.

(3) By March 1 of the current fiscal year, the consortium shall provide to the department and the house and senate appropriations subcommittees on the department budget a report on the consortium, including, but not limited to, actual expenditures, number of children placed by agencies in the consortium, fund balance of the consortium, and the status of the consortium evaluation.

Sec. 505. By March 1 of the current fiscal year, the department and Wayne County shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies and policy offices, and the state budget office a report for youth referred or committed to the department for care or supervision in the previous fiscal year and in the first quarter of the current fiscal year outlining the number of youth served by the department within the juvenile justice system, the type of setting for each youth, performance outcomes, and financial costs or savings.

Sec. 507. The department’s ability to satisfy appropriation deducts in part 1 for foster care private collections shall not be limited to collections and accruals pertaining to services provided only in the current fiscal year but may include revenues collected during the current fiscal year for services provided in prior fiscal years.

Sec. 508. (1) In addition to the amount appropriated in part 1 for children’s trust fund grants, money granted or money received as gifts or donations to the children’s trust fund created by 1982 PA 249, MCL 21.171 to 21.172, is appropriated for expenditure.

(2) The department and the child abuse and neglect prevention board shall collaborate to ensure that administrative delays are avoided and the local grant recipients and direct service providers receive money in an expeditious manner. The department and board shall make available the children’s trust fund contract funds to grantees within 31 days of the start date of the funded project.

Sec. 511. The department shall provide reports on a semiannual basis to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on families and human services, and the senate and house fiscal agencies and policy offices on the number and percentage of children who received timely physical and mental health examinations after entry into foster care. The goal of the program is that at least 85% of children shall have an initial medical and mental health examination within 30 days after entry into foster care.

Sec. 512. (1) As required by the settlement, by March 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the following information for cases of child abuse or child neglect from the previous fiscal year:

(a) The total number of relative care placements.

(b) The total number of relatives with a placement who became licensed.

(c) The number of waivers of foster care licensure granted to relative care providers.

(d) The number of waivers of foster care denied to relative care providers.

(e) A list of the reasons from a sample of cases the department denied granting a waiver of foster care licensure for a relative care provider.

(f) A list of the reasons from a sample of cases where relatives were declined foster care licensure as documented by the department.

(2) The caseworker shall request a waiver of foster care licensure if both of the following apply:

(a) The caseworker has fully informed the relative of the benefits of licensure and the option of a licensure waiver.

(b) The caseworker has assessed the relative and the relative’s home using the department’s initial relative safety screen and the department’s relative home assessment and has determined that the relative’s home is safe and placement there is in the child’s best interest.

Sec. 513. (1) The department shall not expend funds appropriated in part 1 to pay for the direct placement by the department of a child in an out-of-state facility unless all of the following conditions are met:

(a) There is no appropriate placement available in this state as determined by the department interstate compact office.

(b) An out-of-state placement exists that is nearer to the child’s home than the closest appropriate in-state placement as determined by the department interstate compact office.

(c) The out-of-state facility meets all of the licensing standards of this state for a comparable facility.

(d) The out-of-state facility meets all of the applicable licensing standards of the state in which it is located.

(e) The department has done an on-site visit to the out-of-state facility, reviewed the facility records, reviewed licensing records and reports on the facility, and believes that the facility is an appropriate placement for the child.

(2) The department shall not expend money for a child placed in an out-of-state facility without approval of the executive director of the children’s services agency.

(3) The department shall submit an annual report by March 1 of the current fiscal year to the state court administrative office, the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on the number of Michigan children residing in out-of-state facilities in the previous fiscal year and shall include the total cost and average per diem cost of these out-of-state placements to this state, and a list of each such placement arranged by the Michigan county of residence for each child.

Sec. 514. The department shall make a comprehensive report concerning children’s protective services (CPS) to the legislature, including the senate and house policy offices and the state budget director, by March 1 of the current fiscal year, that shall include all of the following:

(a) Statistical information including, but not limited to, all of the following:

(i) The total number of reports of child abuse or child neglect investigated under the child protection law, 1975 PA 238, MCL 722.621 to 722.638, and the number of cases classified under category I or category II and the number of cases classified under category III, category IV, or category V.

(ii) Characteristics of perpetrators of child abuse or child neglect and the child victims, such as age, relationship, race, and ethnicity and whether the perpetrator exposed the child victim to drug activity, including the manufacture of illicit drugs, that exposed the child victim to substance abuse, a drug house, or methamphetamine.

(iii) The mandatory reporter category in which the individual who made the report fits, or other categorization if the individual is not within a group required to report under the child protection law, 1975 PA 238, MCL 722.621 to 722.638.

(iv) The number of cases that resulted in the separation of the child from the parent or guardian and the period of time of that separation, up to and including termination of parental rights.

(v) For the reported complaints of child abuse or child neglect by teachers, school administrators, and school counselors, the number of cases classified under category I or category II and the number of cases classified under category III, category IV, or category V.

(vi) For the reported complaints of child abuse or child neglect by teachers, school administrators, and school counselors, the number of cases that resulted in separation of the child from the parent or guardian and the period of time of that separation, up to and including termination of parental rights.

(b) New policies related to children’s protective services including, but not limited to, major policy changes and court decisions affecting the children’s protective services system during the immediately preceding 12-month period. The report shall also include a summary of the actions undertaken and applicable expenditures to achieve compliance with the office of the auditor general audit number 431-1285-16.

(c) Statistical information regarding families that were classified in category III, including, but not limited to, all of the following:

(i) The total number of cases classified in category III.

(ii) The number of cases in category III referred to voluntary community services and closed with no additional monitoring.

(iii) The number of cases in category III referred to voluntary community services and monitored for up to 90 days.

(iv) The number of cases in category III for which the department entered more than 1 determination that there was evidence of child abuse or child neglect.

(v) The number of cases in category III that the department reclassified from category III to category II.

(vi) The number of cases in category III that the department reclassified from category III to category I.

(vii) The number of cases in category III that the department reclassified from category III to category I that resulted in a removal.

(d) The department policy, or changes to the department policy, regarding children who have been exposed to the production or manufacture of methamphetamines.

Sec. 515. If a child protection services caseworker requests approval for another child protection services caseworker or other department employee to accompany them on a home visit because the caseworker believes it would be unsafe to conduct the home visit alone, the department shall not deny the request.

Sec. 516. From funds appropriated in part 1 for child care fund, the administrative or indirect cost payment equal to 10% of a county’s total monthly gross expenditures shall be distributed to the county on a monthly basis and a county is not required to submit documentation to the department for any of the expenditures that are covered under the 10% payment as described in section 117a(4)(b)(ii) and (iv) of the social welfare act, 1939 PA 280, MCL 400.117a.

Sec. 517. The department shall retain the same title IV-E appeals policy in place as of the fiscal year ending September 30, 2017.

Sec. 518. Supervisors must make an initial read of a caseworker’s report on a child abuse or child neglect investigation and note any corrections required, or approve the report, within 5 business days. The caseworker must resubmit a report that needs corrections within 3 business days.

Sec. 519. The department shall permit any private agency that has an existing contract with this state to provide foster care services to be also eligible to provide treatment foster care services.

Sec. 520. The department shall submit a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office by February 15 of the current fiscal year on the number of days of care and expenditures by funding source for the previous fiscal year for out-of-home placements by specific placement programs for child abuse or child neglect and juvenile justice, including, but not limited to, paid relative placement, department direct family foster care, private agency supervised foster care, private child caring institutions, county-supervised facilities, court-supervised facilities, and independent living. The report shall also include the number of days of care for department-operated residential juvenile justice facilities by security classification.

Sec. 521. (1) From the funds appropriated in part 1 for child care fund - indirect cost allotment, the department shall allocate $4,211,400.00 to counties and tribal governments that receive reimbursements in part 1 from child care fund.

(2) The amount described in subsection (1) shall be distributed to each county or tribal government in the same proportion as indirect cost allotments are provided to counties in the manner described in section 117a of the social welfare act, 1939 PA 280, MCL 400.117a.

Sec. 522. (1) From the funds appropriated in part 1 for youth in transition, the department shall allocate $750,000.00 for scholarships through the fostering futures scholarship program in the Michigan education trust to youths who were in foster care because of child abuse or child neglect and are attending a college or a career technical educational institution located in this state. Of the funds appropriated, 100% shall be used to fund scholarships for the youths described in this section.

(2) On a semiannual basis, the department shall provide a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office that includes the number of youths who received scholarships and the amount of each scholarship, and the total amount of funds spent or encumbered in the current fiscal year.

Sec. 523. (1) By February 15 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a report on the families first, family reunification, and families together building solutions family preservation programs. The report shall provide population and outcome data based on contractually required follow-up evaluations for families who received family preservation services and shall include information for each program on any innovations that may increase child safety and risk reduction.

(2) From the funds appropriated in part 1 for youth in transition and domestic violence prevention and treatment, the department is authorized to make allocations of TANF funds only to agencies that report necessary data to the department for the purpose of meeting TANF eligibility reporting requirements.

(3) By October 1 of the current fiscal year, from the funds appropriated in part 1 for family preservation services, the department shall allocate $1,000,000.00 of state general fund/general purpose revenue and $1,075,000.00 of TANF and any eligible federal matching funds to increase rates paid to family preservation service providers by at least 5.5% for the families first, family reunification, and families together building solutions programs.

Sec. 524. As a condition of receiving funds appropriated in part 1 for strong families/safe children, counties must submit the service spending plan to the department by October 1 of the current fiscal year for approval. The department shall approve the service spending plan within 30 calendar days after receipt of a properly completed service spending plan.

Sec. 525. The department shall implement the same on-site evaluation processes for privately operated child welfare and juvenile justice residential facilities as is used to evaluate state-operated facilities. Penalties for noncompliance shall be the same for privately operated child welfare and juvenile justice residential facilities and state-operated facilities.

Sec. 527. With the approval of the settlement monitor, for the purposes of calculating adoption worker caseloads for private child placing agencies, the department shall exclude the following case types:

(a) Cases in which there are multiple applicants as that term is defined in section 22(e) of chapter X of the probate code of 1939, 1939 PA 288, MCL 710.22, also known as a competing party case, in which the case has a consent motion pending from Michigan’s children’s institute or the court for more than 30 days.

(b) Cases in which a birth parent has an order or motion for a rehearing or an appeal as of right that has been pending for more than 15 days.

Sec. 530. (1) All master contracts relating to foster care and adoption services as funded by the appropriations in section 105 of part 1 shall be performance-based contracts that employ a client-centered results-oriented process that is based on measurable performance indicators and desired outcomes and includes the annual assessment of the quality of services provided.

(2) By February 1 of the current fiscal year, the department shall provide the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies and policy offices, and the state budget office a report detailing measurable performance indicators, desired outcomes, and an assessment of the quality of services provided by the department during the previous fiscal year.

Sec. 531. The department shall notify the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices of any changes to a child welfare master contract template, including the adoption master contract template, the independent living plus master contract template, the child placing agency foster care master contract template, and the residential foster care juvenile justice master contract template, not less than 30 days before the change takes effect.

Sec. 532. The department, in collaboration with representatives of private child and family agencies, shall revise and improve the annual licensing review process and the annual contract compliance review process for child placing agencies and child caring institutions. The improvement goals shall be safety and care for children. Improvements to the review process shall be directed toward alleviating administrative burdens so that agency resources may be focused on children. The revision shall include identification of duplicative staff activities and information sought from child placing agencies and child caring institutions in the annual review process. The department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies and policy offices, and the state budget director on or before January 15 of the current fiscal year on the findings of the annual licensing review and include summaries of actions undertaken to revise, improve, and identify weaknesses in the current annual licensing process and annual contract compliance.

Sec. 533. The department shall make payments to child placing facilities for in-home and out-of-home care services and adoption services within 30 days of receiving all necessary documentation from those agencies. It is the intent of the legislature that the burden of ensuring that these payments are made in a timely manner and no payments are in arrears is upon the department.

Sec. 534. The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year a report on the adoption subsidies expenditures from the previous fiscal year. The report shall include, but is not limited to, the range of annual adoption support subsidy amounts, for both title IV-E eligible cases and state-funded cases, paid to adoptive families, the number of title IV-E and state-funded cases, the number of cases in which the adoption support subsidy request of adoptive parents for assistance was denied by the department, and the number of adoptive parents who requested a redetermination of adoption support subsidy.

Sec. 535. (1) By December 1 of the current fiscal year, the department shall create a process in which unlicensed relatives are reviewed and approved as meeting the standards established for state licensing for foster care. For any placements approved as meeting the standards established for state licensing for foster care, the department shall seek title IV-E claims for foster care maintenance payments and foster care administrative payments.

(2) By March 1 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices a report on the number of unlicensed relative placements not approved as meeting the standards established for state licensing and the status of title IV-E claims described in subsection (1).

Sec. 536. By March 1 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the policy offices a report on the status of the department’s planned and achieved implementation of the federal family first prevention services act, Public Law 115-123. The report shall include, but not be limited to, an estimate of the 5-year spending plan for administrative and compliance costs, information regarding compliance with title IV-E prevention requirements, the status of statewide compliance with the qualified residential treatment program requirements, the department’s conformity with federal model licensing standards, the department’s plan for tracking and preventing child maltreatment deaths, and the department’s plan for extending John H. Chaffee foster care independence programs up to age 23.

Sec. 537. The department, in collaboration with child placing agencies, shall implement section 115o of the social welfare act, 1939 PA 280, MCL 400.115o. Department caseworkers responsible for preparing a recommendation to a court concerning a juvenile placement shall provide, as part of the recommendation, information regarding the requirements of section 115o of the social welfare act, 1939 PA 280, MCL 400.115o.

Sec. 538. By October 1 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the policy offices a report on the status of the department’s program improvement plan associated with round 3 of the child and family services review (CFSR). The report shall also include, but not be limited to, a specific and detailed plan to address the areas of substantial nonconformity identified in the CFSR such as the inadequacy of caseworker training provided by the department, the estimated costs necessary to reduce travel time for service delivery to rural areas, plans to improve caseworker engagement to reduce maltreatment in care, and steps undertaken by the department to emphasize permanency in case planning.

Sec. 540. If a physician or psychiatrist who is providing services to state or court wards placed in a residential facility submits a formal request to the department to change the psychotropic medication of a ward, the department shall, if the ward is a state ward, make a determination on the proposed change within 7 business days after the request or, if the ward is a temporary court ward, seek parental consent within 7 business days after the request. If parental consent is not provided within 7 business days, the department shall petition the court on the eighth business day.

Sec. 546. (1) From the funds appropriated in part 1 for foster care payments and from child care fund, the department shall pay providers of general foster care, independent living, and trial reunification services not less than a $46.20 administrative rate.

(2) From the funds appropriated in part 1, the department shall pay providers of independent living plus services statewide per diem rates for staff-supported housing and host-home housing based on proposals submitted in response to a solicitation for pricing. The independent living plus program provides staff-supported housing and services for foster youth ages 16 through 19 who, because of their individual needs and assessments, are not initially appropriate for general independent living foster care.

(3) If required by the federal government to meet title IV-E requirements, providers of foster care services shall submit quarterly reports on expenditures to the department to identify actual costs of providing foster care services.

(4) From the funds appropriated in part 1, the department shall maintain the rates in place on March 20, 2019 provided to each private provider of residential services.

Sec. 547. (1) From the funds appropriated in part 1 for the guardianship assistance program, the department shall pay a minimum rate that is not less than the approved age-appropriate payment rates for youth placed in family foster care.

(2) The department shall report quarterly to the state budget office, the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices on the number of children enrolled in the guardianship assistance and foster care - children with serious emotional disturbance waiver programs.

Sec. 550. (1) The department shall not offset against reimbursement payments to counties or seek reimbursement from counties for charges that were received by the department more than 12 months before the department seeks to offset against reimbursement. A county shall not request reimbursement for and reimbursement payments shall not be paid for a charge that is more than 12 months after the date of service or original status determination when initially submitted by the county.

(2) All service providers shall submit a request for payment within 12 months after the date of service. Any request for payment submitted 12 months or more after the date of service requires the provider to submit an exception request to the county or the department for approval or denial.

(3) The county is not subject to any offset, chargeback, or reimbursement liability for prior expenditures resulting from an error in foster care fund source determinations.

Sec. 551. The department shall respond to counties within 30 days regarding any request for a clarification requested through the department’s child care fund management unit electronic mail address.

Sec. 552. Sixty days after a county’s child care fund on-site review is completed, the department shall provide the results of the review to the county. The department shall not evaluate the relevancy, quality, effectiveness, efficiency, or impact of the services provided to youth of the county’s child care fund programs in the review. Pursuant to state law, the department shall not release the results of the review to a third-party without the permission of the county being reviewed.

Sec. 558. From the funds appropriated in part 1 for child welfare institute, by January 1 of the current fiscal year, the department shall provide all the necessary training and materials to designated private child placing agency staff in order for all pre-service training requirements specified by the settlement to be completed by private child placing agency staff at agency facilities. It shall be department policy that the designated private child placing agency staff trained by the department to deliver training are authorized to deliver pre-service training to any private child placing agency staff, regardless of agency. This section does not modify or amend current licensing, certification, or subject matter standards required by federal law, state law, or the settlement.

Sec. 559. (1) From the funds appropriated in part 1 for adoption support services, the department shall allocate $250,000.00 to the Adoptive Family Support Network by December 1 of the current fiscal year to operate and expand its adoptive parent mentor program to provide a listening ear, knowledgeable guidance, and community connections to adoptive parents and children who were adopted in this state or another state.

(2) The Adoptive Family Support Network shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year a report on the program described in subsection (1), including, but not limited to, the number of cases served and the number of cases in which the program prevented an out-of-home placement.

Sec. 562. The department shall provide time and travel reimbursements for foster parents who transport a foster child to parent-child visitations. As part of the foster care parent contract, the department shall provide written confirmation to foster parents that states that the foster parents have the right to request these reimbursements for all parent-child visitations. The department shall provide these reimbursements within 60 days of receiving a request for eligible reimbursements from a foster parent.

Sec. 564. (1) The department shall develop a clear policy for parent-child visitations. The local county offices, caseworkers, and supervisors shall meet an 85% success rate, after accounting for factors outside of the caseworkers’ control.

(2) Per the court-ordered number of required meetings between caseworkers and a parent, the caseworkers shall achieve a success rate of 85%, after accounting for factors outside of the caseworkers’ control.

(3) By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a report on the following:

(a) The percentage of success rate for parent-child visitations and court-ordered required meetings between caseworkers referenced in subsections (1) and (2) for the previous year.

(b) The barriers to achieve the success rates in subsections (1) and (2) and how this information is tracked.

Sec. 567. The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year a report on transfer of medical passports for children in foster care, including the following:

(a) From the total medical passports transferred, the percentage that transferred within 2 weeks from the date of placement or return to the home.

(b) From the total school records, the percentage that transferred within 2 weeks from the date of placement or return to the home.

(c) The implementation steps that have been taken to improve the outcomes for the measures in subdivision (a).

Sec. 569. The department shall reimburse private child placing agencies that complete adoptions at the rate according to the date on which the petition for adoption and required support documentation was accepted by the court and not according to the date the court’s order placing for adoption was entered.

Sec. 573. (1) From the funds appropriated in part 1 for foster care payments and child care fund, the department shall, if funds become available, pay providers of foster care services a per diem daily administrative rate for every case on a caseworker’s caseload for the duration of a case from referral acceptance to the discharge of wardship.

(2) The department shall complete an actuarial study to review case rates paid to private child placing agencies every even-numbered year.

(3) The department shall submit a request to the settlement monitor to define caseload ratios in the settlement to only include active cases or to designate a zero case weight for cases that are routed for case closure but remain open to complete administrative activities.

Sec. 574. (1) From the funds appropriated in part 1 for foster care payments, $2,000,000.00 is allocated to support performance-based contracts with child placing agencies to facilitate the licensure of relative caregivers as foster parents. Agencies shall receive $4,500.00 for each facilitated licensure if completed within 180 days after case acceptance, or, if a waiver was previously approved, 180 days from the referral date. If the facilitated licensure, or approved waiver, is completed after 180 days, the agency shall receive up to $3,500.00. The agency facilitating the licensure would retain the placement and continue to provide case management services for the newly licensed cases for which the placement was appropriate to the agency. The 180-day period shall not include any delay due to actions solely in the control of the department as accounted for by the child placing agency assisting with licensure.

(2) By March 1 of the current fiscal year, the department shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office a report on the total amount expended in the previous year for payments to child placing agencies for completed licensures of relative caregivers as foster parents as referenced in subsection (1) and the number of newly licensed caregivers for which the child placing agencies received these payments.

(3) From the funds appropriated for foster care payments, $375,000.00 is allocated to support family incentive grants to private and community-based foster care service providers to assist with home improvements or payment for physical exams for applicants needed by foster families to accommodate foster children.

(4) By March 1 of the current fiscal year, the department shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office a report on the total amount expended in the previous year for grants to private and community-based foster care service providers for home improvements or physical exams as referenced in subsection (3) and the number of grants issued.

Sec. 583. By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on families and human services, the senate and house fiscal agencies and policy offices, and the state budget office a report that includes:

(a) The number and percentage of foster parents that dropped out of the program in the previous fiscal year and the reasons the foster parents left the program and how those figures compare to prior fiscal years.

(b) The number and percentage of foster parents successfully retained in the previous fiscal year and how those figures compare to prior fiscal years.

Sec. 585. The department shall make available at least 1 pre-service training class each month in which new caseworkers for private foster care and adoption agencies can enroll.

Sec. 588. (1) Concurrently with public release, the department shall transmit all reports from the court-appointed settlement monitor, including, but not limited to, the needs assessment and period outcome reporting, to the state budget office, the senate and house appropriations subcommittees on the department budget, and the senate and house fiscal agencies and policy offices, without revision.

(2) By October 1 of the current fiscal year, the department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the policy offices a detailed plan that will terminate and dismiss with prejudice the settlement by September 30 of the current fiscal year.

Sec. 589. (1) From the funds appropriated in part 1 for child care fund, the department shall pay 100% of the administrative rate for all new cases referred to providers of foster care services.

(2) On a quarterly basis, the department shall report on the monthly number of all foster care cases administered by the department and all foster care cases administered by private providers.

Sec. 594. From the funds appropriated in part 1 for foster care payments, the department shall support regional resource teams to provide for the recruitment, retention, and training of foster and adoptive parents and shall expand the Michigan youth opportunities initiative to all Michigan counties. The purpose of this funding is to increase the number of annual inquiries from prospective foster parents, increase the number of nonrelative foster homes that achieve licensure each year, increase the annual retention rate of nonrelative foster homes, reduce the number of older foster youth placed outside of family settings, and provide older youth with enhanced support in transitioning to adulthood.

Sec. 595. (1) Due to the exigent circumstances found in the department’s children’s protective services (CPS) program by the office of the auditor general (OAG) audit number 431-1285-16, from the funds appropriated in part 1, the department shall expend $162,849,600.00 for children’s protective services - caseload staff in order to dedicate resources to CPS investigations. The department shall hire staff from the funds appropriated in part 1 for children’s protective services - caseload staff for the department to come into compliance and sustain measured corrective action as determined by the OAG for OAG audit number 431-1285-16.

(2) From the funds appropriated in part 1 for foster care services - caseload staff, the department shall not expend any funds on hiring foster care workers or licensing workers and shall not assume any direct supervisory responsibility of foster care cases unless 1 of the following conditions is met:

(a) An initial review of the case indicated that the case is not eligible for title IV-E reimbursement.

(b) The department is already providing direct foster care service to 1 or more siblings of the child ordered into a placement, and a department direct service provision can provide placement to the entire sibling group.

(c) The court has ordered placement for only some of the children in the family, requiring the department to monitor the children remaining at home.

(3) From the funds appropriated in part 1 for foster care payments, all new foster care cases coming into care shall be placed with a private child placing agency supervision unless any of the conditions in subsection (1) are met or until the statewide ratio of foster care cases is 55% for private child placing agency supervision to 45% department case management supervision respectively.

(4) This section does not require an individual county to meet the case ratio described in subsection (3).

(5) This section does not modify or amend caseload ratios required under the settlement.

Sec. 596. (1) From the funds appropriated in part 1 for youth in transition, the department shall maintain the recent $500,000.00 state general fund/general purpose revenue increase to funding to support the runaway and homeless youth services program. The purpose of the additional funding is to support current programs for contracted providers that provide emergency shelter and services to homeless and runaway youth.

(2) From the funds appropriated in part 1 for runaway and homeless youth services program, the department shall allocate $300,000.00 state general fund/general purpose revenue and $500,000.00 TANF revenue to increase funding to support runaway and homeless youth services programs. The purpose of the additional funding is to support current programs for contracted providers that provide emergency shelter and services to homeless and runaway youth.

(3) By March 1 of the current fiscal year, the department shall submit to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office a report on the total amount expended for runaway and homeless youth services programs in the previous year, as well as the total number of shelter nights for youth provided.

Sec. 598. Partial child care fund reimbursements to counties for undisputed charges shall be made within 45 business days after the receipt of the required forms and documentation. The department shall notify a county within 15 business days after a disputed reimbursement request. The department shall reimburse for corrected charges within 45 business days after a properly corrected submission by the county.

PUBLIC ASSISTANCE

Sec. 601. Whenever a client agrees to the release of his or her name and address to the local housing authority, the department shall request from the local housing authority information regarding whether the housing unit for which vendoring has been requested meets applicable local housing codes. Vendoring shall be terminated for those units that the local authority indicates in writing do not meet local housing codes until such time as the local authority indicates in writing that local housing codes have been met.

Sec. 602. The department shall conduct a full evaluation of an individual’s assistance needs if the individual has applied for disability more than 1 time within a 1-year period.

Sec. 603. For any change in the income of a recipient of the food assistance program, the family independence program, or state disability assistance that results in a benefit decrease, the department must notify the affected recipient of the decrease in benefits amount no later than 15 work days for the food assistance program, the family independence program, and state disability assistance before the first day of the month in which the change takes effect.

Sec. 604. (1) The department shall operate a state disability assistance program. Except as provided in subsection (3), persons eligible for this program shall include needy citizens of the United States or aliens exempted from the supplemental security income citizenship requirement who are at least 18 years of age or emancipated minors meeting 1 or more of the following requirements:

(a) A recipient of supplemental security income, social security, or medical assistance due to disability or 65 years of age or older.

(b) A person with a physical or mental impairment that meets federal supplemental security income disability standards, except that the minimum duration of the disability shall be 90 days. Substance use disorder alone is not defined as a basis for eligibility.

(c) A resident of an adult foster care facility, a home for the aged, a county infirmary, or a substance use disorder treatment center.

(d) A person receiving 30-day postresidential substance use disorder treatment.

(e) A person diagnosed as having acquired immunodeficiency syndrome.

(f) A person receiving special education services through the local intermediate school district.

(g) A caretaker of a disabled person who meets the requirements specified in subdivision (a), (b), (e), or (f).

(2) Applicants for and recipients of the state disability assistance program shall be considered needy if they:

(a) Meet the same asset test as is applied for the family independence program.

(b) Have a monthly budgetable income that is less than the payment standards.

(3) Except for a person described in subsection (1)(c) or (d), a person is not disabled for purposes of this section if his or her drug addiction or alcoholism is a contributing factor material to the determination of disability. “Material to the determination of disability” means that, if the person stopped using drugs or alcohol, his or her remaining physical or mental limitations would not be disabling. If his or her remaining physical or mental limitations would be disabling, then the drug addiction or alcoholism is not material to the determination of disability and the person may receive state disability assistance. Such a person must actively participate in a substance abuse treatment program, and the assistance must be paid to a third party or through vendor payments. For purposes of this section, substance abuse treatment includes receipt of inpatient or outpatient services or participation in alcoholics anonymous or a similar program.

Sec. 605. The level of reimbursement provided to state disability assistance recipients in licensed adult foster care facilities shall be the same as the prevailing supplemental security income rate under the personal care category.

Sec. 606. County department offices shall require each recipient of family independence program and state disability assistance who has applied with the social security administration for supplemental security income to sign a contract to repay any assistance rendered through the family independence program or state disability assistance program upon receipt of retroactive supplemental security income benefits.

Sec. 607. (1) The department’s ability to satisfy appropriation deductions in part 1 for state disability assistance/supplemental security income recoveries and public assistance recoupment revenues shall not be limited to recoveries and accruals pertaining to state disability assistance, or family independence assistance grant payments provided only in the current fiscal year, but may include revenues collected during the current year that are prior year related and not a part of the department’s accrued entries.

(2) The department may use supplemental security income recoveries to satisfy the deduct in any line in which the revenues are appropriated, regardless of the source from which the revenue is recovered.

Sec. 608. Adult foster care facilities providing domiciliary care or personal care to residents receiving supplemental security income or homes for the aged serving residents receiving supplemental security income shall not require those residents to reimburse the home or facility for care at rates in excess of those legislatively authorized. To the extent permitted by federal law, adult foster care facilities and homes for the aged serving residents receiving supplemental security income shall not be prohibited from accepting third-party payments in addition to supplemental security income if the payments are not for food, clothing, shelter, or result in a reduction in the recipient’s supplemental security income payment.

Sec. 609. The state supplementation level under the supplemental security income program for the personal care/adult foster care and home for the aged categories shall not be reduced during the current fiscal year. The legislature shall be notified not less than 30 days before any proposed reduction in the state supplementation level.

Sec. 610. (1) In developing good cause criteria for the state emergency relief program, the department shall grant exemptions if the emergency resulted from unexpected expenses related to maintaining or securing employment.

(2) For purposes of determining housing affordability eligibility for state emergency relief, a group is considered to have sufficient income to meet ongoing housing expenses if their total housing obligation does not exceed 75% of their total net income.

(3) State emergency relief payments shall not be made to individuals who have been found guilty of fraud in regard to obtaining public assistance.

(4) State emergency relief payments shall not be made available to persons who are out-of-state residents or illegal immigrants.

(5) State emergency relief payments for rent assistance shall be distributed directly to landlords and shall not be added to Michigan bridge cards.

Sec. 611. The state supplementation level under the supplemental security income program for the living independently or living in the household of another categories shall not exceed the minimum state supplementation level as required under federal law or regulations.

Sec. 613. (1) The department shall provide reimbursements for the final disposition of indigent persons. The reimbursements shall include the following:

(a) The maximum allowable reimbursement for the final disposition is $800.00.

(b) The adult burial with services allowance is $725.00.

(c) The adult burial without services allowance is $490.00.

(d) The infant burial allowance is $170.00.

(2) Reimbursement for a cremation permit fee of up to $75.00 and for mileage at the standard rate will be made available for an eligible cremation. The reimbursements under this section shall take into consideration religious preferences that prohibit cremation.

Sec. 614. The department shall report to the senate and house of representatives appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices by January 15 of the current fiscal year on the number and percentage of state disability assistance recipients who were determined to be eligible for federal supplemental security income benefits in the previous fiscal year.

Sec. 615. Except as required by federal law or regulations, funds appropriated in part 1 shall not be used to provide public assistance to a person who is an illegal alien. This section shall not prohibit the department from entering into contracts with food banks, emergency shelter providers, or other human services agencies who may, as a normal part of doing business, provide food or emergency shelter.

Sec. 616. The department shall require retailers that participate in the electronic benefits transfer program to charge no more than $2.50 in fees for cash back as a condition of participation.

Sec. 618. By March 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office the quarterly number of supervised individuals who have absconded from supervision and whom a law enforcement agency, the department of corrections, or the department is actively seeking according to section 84 of the corrections code of 1953, 1953 PA 232, MCL 791.284.

Sec. 619. (1) Subject to subsection (2), the department shall not deny title IV-A assistance and food assistance benefits under 21 USC 862a to any individual who has been convicted of a single felony that included the possession, use, or distribution of a controlled substance, for which the act that resulted in the conviction occurred after August 22, 1996, if the individual is not in violation of his or her probation or parole requirements. Benefits shall be provided to an individual, if the individual is the grantee (head of household), as follows:

(a) Family independence program benefits must be paid in the form of restricted payments when the grantee has been convicted, for conduct occurring after August 22, 1996, of a felony for the use, possession, or distribution of a controlled substance.

(b) An authorized representative shall be required for food assistance receipt. If the individual with the conviction is not the grantee, the food assistance shall be provided to the grantee.

(2) Subject to federal approval, an individual is not entitled to the exemption in this section if the individual was convicted of 2 or more separate felony acts that included the possession, use, or distribution of a controlled substance and both acts occurred after August 22, 1996.

Sec. 620. (1) The department shall make a determination of Medicaid eligibility not later than 90 days if disability is an eligibility factor. For all other Medicaid applicants, including patients of a nursing home, the department shall make a determination of Medicaid eligibility within 45 days of application.

(2) The department shall provide quarterly reports to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on families and human services, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the average Medicaid eligibility standard of promptness for each of the required standards of promptness under subsection (1) and for medical review team reviews achieved statewide and at each local office.

Sec. 625. From the funds appropriated in part 1 for SSI advocacy legal services grant, the department shall allocate $175,000.00 as a grant to the Legal Services Association of Michigan (LSAM). The purpose of the grant is to assist current or potential recipients of state disability assistance who have applied for or wish to apply for SSI or other federal disability benefits. LSAM shall provide a list of new recipients to the department to verify services provided to department referrals. The department shall distribute informational materials or literature provided by LSAM to clients who have been referred to LSAM for assistance under this section. LSAM and the department shall develop release forms to share information in appropriate cases. LSAM shall provide quarterly reports indicating cases opened, cases closed, level of services provided on closed cases, and case outcomes on closed cases.

Sec. 645. An individual or family is considered homeless, for purposes of eligibility for state emergency relief, if living temporarily with others in order to escape domestic violence. For purposes of this section, domestic violence is defined and verified in the same manner as in the department’s policies on good cause for not cooperating with child support and paternity requirements.

Sec. 653. From the funds appropriated in part 1 for food assistance, an individual who is the victim of domestic violence and does not qualify for any other exemption may be exempt from the 3-month in 36-month limit on receiving food assistance under 7 USC 2015. This exemption can be extended an additional 3 months upon demonstration of continuing need.

Sec. 654. The department shall notify recipients of food assistance program benefits that their benefits can be spent with their bridge cards at many farmers’ markets in the state. The department shall also notify recipients about the Double Up Food Bucks program that is administered by the Fair Food Network. Recipients shall receive information about the Double Up Food Bucks program, including information that when the recipient spends $20.00 at participating farmers’ markets through the program, the recipient can receive an additional $20.00 to buy Michigan produce.

Sec. 655. Within 14 days after the spending plan for low-income home energy assistance program is approved by the state budget office, the department shall provide the spending plan, including itemized projected expenditures, to the chairpersons of the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office.

Sec. 660. From the funds appropriated in part 1 for Food Bank Council of Michigan, the department is authorized to make allocations of TANF funds only to the agencies that report necessary data to the department for the purpose of meeting TANF eligibility reporting requirements. The agencies that do not report necessary data to the department for the purpose of meeting TANF eligibility reporting requirements will not receive allocations in excess of those received in fiscal year 2000. The use of TANF funds under this section is not an ongoing commitment of funding.

Sec. 669. From the funds appropriated in part 1 for family independence program, the department shall allocate $7,230,000.00 for the annual clothing allowance. The allowance shall be granted to all eligible children in a family independence program group.

Sec. 672. (1) The department’s office of inspector general shall report to the senate and house of representatives appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices by February 15 of the current fiscal year on department efforts to reduce inappropriate use of Michigan bridge cards. The department shall provide information on the number of recipients of services who used their electronic benefit transfer card inappropriately and the current status of each case, the number of recipients whose benefits were revoked, whether permanently or temporarily, as a result of inappropriate use, and the number of retailers that were fined or removed from the electronic benefit transfer program for permitting inappropriate use of the cards. The report shall distinguish between savings and cost avoidance. Savings include receivables established from instances of fraud committed. Cost avoidance includes expenditures avoided due to front-end eligibility investigations and other preemptive actions undertaken in the prevention of fraud.

(2) It shall be the policy of the department that the department shall require an explanation from a recipient if a bridge card is replaced more than 2 times over any 3-month period.

(3) As used in this section, “inappropriate use” means not used to meet a family’s ongoing basic needs, including food, clothing, shelter, utilities, household goods, personal care items, and general incidentals.

Sec. 677. (1) The department shall establish a state goal for the percentage of family independence program cases involved in employment activities. The percentage established shall not be less than 50%. The goal for long-term employment shall be 15% of cases for 6 months or more.

(2) The department shall provide quarterly reports to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies and policy offices, and the state budget director on the number of cases referred to Partnership. Accountability. Training. Hope. (PATH), the current percentage of family independence program cases involved in PATH employment activities, an estimate of the current percentage of family independence program cases that meet federal work participation requirements on the whole, and an estimate of the current percentage of the family independence program cases that meet federal work participation requirements for those cases referred to PATH.

(3) The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office quarterly reports that include all of the following:

(a) The number and percentage of nonexempt family independence program recipients who are employed.

(b) The average and range of wages of employed family independence program recipients.

(c) The number and percentage of employed family independence program recipients who remain employed for 6 months or more.

Sec. 686. (1) The department shall ensure that program policy requires caseworkers to confirm that individuals presenting personal identification issued by another state seeking assistance through the family independence program, food assistance program, state disability assistance program, or medical assistance program are not receiving benefits from any other state.

(2) The department shall require caseworkers to confirm the address provided by any individual seeking family independence program benefits or state disability assistance benefits.

(3) The department shall prohibit individuals with property assets assessed at a value higher than $200,000.00 from accessing assistance through department-administered programs, unless such a prohibition would violate federal rules and guidelines.

(4) The department shall require caseworkers to obtain an up-to-date telephone number during the eligibility determination or redetermination process for individuals seeking medical assistance benefits.

Sec. 687. (1) The department shall, in quarterly reports, compile and make available on its website all of the following information about the family independence program, state disability assistance, the food assistance program, Medicaid, and state emergency relief:

(a) The number of applications received.

(b) The number of applications approved.

(c) The number of applications denied.

(d) The number of applications pending and neither approved nor denied.

(e) The number of cases opened.

(f) The number of cases closed.

(g) The number of cases at the beginning of the quarter and the number of cases at the end of the quarter.

(2) The information provided under subsection (1) shall be compiled and made available for the state as a whole and for each county and reported separately for each program listed in subsection (1).

(3) The department shall, in quarterly reports, compile and make available on its website the family independence program information listed as follows:

(a) The number of new applicants who successfully met the requirements of the 21-day assessment period for PATH.

(b) The number of new applicants who did not meet the requirements of the 21-day assessment period for PATH.

(c) The number of cases sanctioned because of the school truancy policy.

(d) The number of cases closed because of the 48-month and 60-month lifetime limits.

(e) The number of first-, second-, and third-time sanctions.

(f) The number of children ages 0-5 living in FIP-sanctioned households.

Sec. 688. From the funds appropriated in part 1 for the low-income home energy assistance program, the department shall make an additional $20.01 payment to each food assistance program case that is not currently eligible for the standard utility allowance to enable each case to receive expanded food assistance benefits through the program commonly known as the heat and eat program.

CHILDREN’S SERVICES AGENCY - JUVENILE JUSTICE

Sec. 701. Unless required from changes to federal or state law or at the request of a provider, the department shall not alter the terms of any signed contract with a private residential facility serving children under state or court supervision without written consent from a representative of the private residential facility.

Sec. 706. Counties shall be subject to 50% chargeback for the use of alternative regional detention services, if those detention services do not fall under the basic provision of section 117e of the social welfare act, 1939 PA 280, MCL 400.117e, or if a county operates those detention services programs primarily with professional rather than volunteer staff.

Sec. 707. In order to be reimbursed for child care fund expenditures, counties are required to submit department-developed reports to enable the department to document potential federally claimable expenditures. This requirement is in accordance with the reporting requirements specified in section 117a(11) of the social welfare act, 1939 PA 280, MCL 400.117a.

Sec. 708. (1) As a condition of receiving funds appropriated in part 1 for the child care fund line item, by October 15 of the current fiscal year, counties shall have an approved service spending plan for the current fiscal year. Counties must submit the service spending plan for the following fiscal year to the department by August 15 of the current fiscal year for approval. Upon submission of the county service spending plan, the department shall approve within 30 calendar days after receipt of a properly completed service plan that complies with the requirements of the social welfare act, 1939 PA 280, MCL 400.1 to 400.119b. The department shall notify and submit county service spending plan revisions to any county whose county service spending plan is not accepted upon initial submission. The department shall not request any additional revisions to a county service spending plan outside of the requested revision notification submitted to the county by the department. The department shall notify a county within 30 days after approval that its service plan was approved.

(2) Counties must submit amendments to current fiscal year county service plans no later than August 30. Counties must submit current fiscal year payable estimates to the department no later than September 15.

(3) The department shall submit a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office by February 15 of the current fiscal year on the number of counties that fail to submit a service spending plan by August 15 of the previous fiscal year and the number of service spending plans not approved by October 15. The report shall include the number of county service spending plans that were not approved as first submitted by the counties, as well as the number of plans that were not approved by the department after being resubmitted by the county with the first revisions that were requested by the department.

Sec. 709. The department’s master contract for juvenile justice residential foster care services shall prohibit contractors from denying a referral for placement of a youth, or terminating a youth’s placement, if the youth’s assessed treatment needs are in alignment with the facility’s residential program type, as identified by the court or the department. In addition, the master contract shall require that youth placed in juvenile justice residential foster care facilities must have regularly scheduled treatment sessions with a licensed psychologist or psychiatrist, or both, and access to the licensed psychologist or psychiatrist as needed.

FIELD OPERATIONS AND SUPPORT SERVICES

Sec. 807. From the funds appropriated in part 1 for Elder Law of Michigan MiCAFE contract, the department shall allocate not less than $350,000.00 to the Elder Law of Michigan MiCAFE to assist this state’s elderly population in participating in the food assistance program. Of the $350,000.00 allocated under this section, the department shall use $175,000.00, which are general fund/general purpose funds, as state matching funds for not less than $175,000.00 in United States Department of Agriculture funding to provide outreach program activities, such as eligibility screening and information services, as part of a statewide food assistance hotline.

Sec. 808. By March 1 of the current fiscal year, the department shall provide a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the nutrition education program. The report shall include requirements made by the agriculture improvement act of 2018, Public Law 115-334, such as how the department shall use an electronic reporting system to evaluate projects and an accounting of allowable state agency administrative costs. The report shall also include documentation of the steps the department shall take to ensure that projects and subgrantee programs are evidence-based, appropriated for, and meet the criteria for eligible individuals as defined in section 2036a(a) of the food and nutrition act, 7 USC 2036, and quantitative evidence that the programs contribute to a reduction in obesity or an increase in the consumption of healthy foods. Additionally, the report shall include planned allocation and actual expenditures for the supplemental nutrition assistance program education funding, planned and actual grant amounts for the supplemental nutrition assistance program education funding, the total amount of expected carryforward balance at the end of the current fiscal year for the supplemental nutrition assistance program education funding and for each subgrantee program, a list of all supplemental nutrition assistance program education funding programs by implementing agency, and the stated purpose of each of the programs and each of the subgrantee programs.

Sec. 809. (1) The purpose of the pathways to potential program is to reduce chronic absenteeism and decrease the number of students who repeat grades for schools that are current or future participants in the pathways to potential program. Before any deployment of resources into a participant school, the department and the participant school shall establish performance objectives for each participant school based on a 2-year baseline prior to pathways to potential being established in the participant school and shall evaluate the progress made in the above categories from the established baseline. By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices a report listing all participant schools, the number of staff assigned to each school by participant school, and the percentage of participating schools that achieved improved performance in each of the 2 outcomes listed above compared to the previous year, by each individual outcome. It is the intent of the legislature that after a 2-year period without attaining an increase in success in meeting the 2 listed outcomes from the established baseline, the department shall work with the participant school to examine the cause of the lack of progress and shall seek to implement a plan to increase success in meeting the identified outcomes. It is the intent of the legislature that progress or the lack of progress made in meeting the performance objectives shall be used as a determinant in future pathways to potential resource allocation decisions.

(2) As used in this section, “baseline” means the initial set of data from the center for educational performance and information in the department of technology, management, and budget of the 2 measured outcomes as described in subsection (1).

Sec. 825. From the funds appropriated in part 1, the department shall provide individuals not more than $500.00 for vehicle repairs, including any repairs done in the previous 12 months. However, the department may in its discretion pay for repairs up to $900.00. Payments under this section shall include the combined total of payments made by the department and work participation program.

Sec. 850. (1) The department shall maintain out-stationed eligibility specialists in community-based organizations, community mental health agencies, nursing homes, adult placement and independent living settings, federally qualified health centers, and hospitals unless a community-based organization, community mental health agency, nursing home, adult placement and independent living setting, federally qualified health centers, or hospital requests that the program be discontinued at its facility.

(2) From the funds appropriated in part 1 for donated funds positions, the department shall enter into contracts with agencies that are able and eligible under federal law to provide the required matching funds for federal funding, as determined by federal statute and regulations.

(3) A contract for an assistance payments donated funds position must include, but not be limited to, the following performance metrics:

(a) Meeting a standard of promptness for processing applications for Medicaid and other public assistance programs under state law.

(b) Meeting required standards for error rates in determining programmatic eligibility as determined by the department.

(4) The department shall only fill additional donated funds positions after a new contract has been signed. That position shall also be abolished when the contract expires or is terminated.

(5) The department shall classify as limited-term FTEs any new employees who are hired to fulfill the donated funds position contracts or are hired to fill any vacancies from employees who transferred to a donated funds position.

(6) By March 1 of the current fiscal year, the department shall submit a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies and policy offices, and the state budget office detailing information on the donated funds positions, including the total number of occupied positions, the total private contribution of the positions, and the total cost to the state for any nonsalary expenditure for the donated funds position employees.

Sec. 851. (1) From the funds appropriated in part 1 for adult services field staff, the department shall seek to reduce the number of older adults who are victims of crime and fraud by increasing the standard of promptness in every county, as measured by commencing an investigation within 24 hours after a report is made to the department, establishing face-to-face contact with the client within 72 hours after a report is made to the department, and completing the investigation within 30 days after a report is made to the department.

(2) The department shall report no later than March 1 of the current fiscal year to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices on the services provided to older adults who were victims of crime or fraud in the previous fiscal year. The report shall include, but is not limited to, the following by county: the percentage of investigations commenced within 24 hours after a report is made to the department, the number of face-to-face contacts established with the client within 72 hours after a report is made to the department, the number of investigations completed within 30 days after a report is made to the department, and the total number of older adults that were victims of crime or fraud in the previous fiscal year and were provided services by the department as a result of being victims of crime or fraud.

DISABILITY DETERMINATION SERVICES

Sec. 890. From the funds appropriated in part 1 for disability determination services, the department shall maintain the unit rates in effect on September 30, 2019 for medical consultants performing disability determination services, including physicians, psychologists, and speech-language pathologists.

BEHAVIORAL HEALTH SERVICES ADMINISTRATION AND SPECIAL PROJECTS

Sec. 901. Except for the pilot projects and demonstration models described in section 298 of this part, the funds appropriated in part 1 are intended to support a system of comprehensive community mental health services under the full authority and responsibility of local CMHSPs or PIHPs in accordance with the mental health code, 1974 PA 258, MCL 330.1001 to 330.2106, the Medicaid provider manual, federal Medicaid waivers, and all other applicable federal and state laws.

Sec. 902. (1) Except for the pilot projects and demonstration models described in section 298 of this part, from the funds appropriated in part 1, final authorizations to CMHSPs or PIHPs shall be made upon the execution of contracts between the department and CMHSPs or PIHPs. The contracts shall contain an approved plan and budget as well as policies and procedures governing the obligations and responsibilities of both parties to the contracts. Each contract with a CMHSP or PIHP that the department is authorized to enter into under this subsection shall include a provision that the contract is not valid unless the total dollar obligation for all of the contracts between the department and the CMHSPs or PIHPs entered into under this subsection for the current fiscal year does not exceed the amount of money appropriated in part 1 for the contracts authorized under this subsection.

(2) The department shall immediately report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget director if either of the following occurs:

(a) Any new contracts the department has entered into with CMHSPs or PIHPs that would affect rates or expenditures.

(b) Any amendments to contracts the department has entered into with CMHSPs or PIHPs that would affect rates or expenditures.

(3) The report required by subsection (2) shall include information about the changes and their effects on rates and expenditures.

Sec. 904. (1) By May 31 of the current fiscal year, the department shall provide a report on the CMHSPs, PIHPs, and designated regional entities for substance use disorder prevention and treatment to the members of the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget director that includes the information required by this section.

(2) The report shall contain information for each CMHSP, PIHP, and designated regional entity for substance use disorder prevention and treatment, and a statewide summary, each of which shall include at least the following information:

(a) A demographic description of service recipients that, minimally, shall include reimbursement eligibility, client population, age, ethnicity, housing arrangements, and diagnosis.

(b) Per capita expenditures in total and by client population group and cultural and ethnic groups of the services area, including the deaf and hard of hearing population.

(c) Financial information that, minimally, includes a description of funding authorized; expenditures by diagnosis group, service category, and reimbursement eligibility; and cost information by Medicaid, Healthy Michigan plan, state appropriated non-Medicaid mental health services, local funding, and other fund sources, including administration and funds specified for all outside contracts for services and products. Financial information must include the amount of funding, from each fund source, used to cover clinical services and supports. Service category includes all department-approved services.

(d) Data describing service outcomes that include, but are not limited to, an evaluation of consumer satisfaction, consumer choice, and quality of life concerns including, but not limited to, housing and employment.

(e) Information about access to CMHSPs and designated regional entities for substance use disorder prevention and treatment that includes, but is not limited to, the following:

(i) The number of people receiving requested services.

(ii) The number of people who requested services but did not receive services.

(f) The number of second opinions requested under the mental health code, 1974 PA 258, MCL 330.1001 to 330.2106, and the determination of any appeals.

(g) Lapses and carryforwards during the previous fiscal year for CMHSPs, PIHPs, and designated regional entities for substance use disorder prevention and treatment.

(h) Performance indicator information required to be submitted to the department in the contracts with CMHSPs, PIHPs, and designated regional entities for substance use disorder prevention and treatment.

(i) Administrative expenditures of each CMHSP, PIHP, and designated regional entity for substance use disorder prevention and treatment that include a breakout of the salary, benefits, and pension of each executive-level staff and shall include the director, chief executive, and chief operating officers and other members identified as executive staff.

(3) The report shall contain the following information from the previous fiscal year on substance use disorder prevention, education, and treatment programs:

(a) Expenditures stratified by department-designated community mental health entity, by central diagnosis and referral agency, by fund source, by subcontractor, by population served, and by service type.

(b) Expenditures per state client, with data on the distribution of expenditures reported using a histogram approach.

(c) Number of services provided by central diagnosis and referral agency, by subcontractor, and by service type. Additionally, data on length of stay, referral source, and participation in other state programs.

(d) Collections from other first- or third-party payers, private donations, or other state or local programs, by department-designated community mental health entity, by subcontractor, by population served, and by service type.

(4) The department shall include data reporting requirements listed in subsections (2) and (3) in the annual contract with each individual CMHSP, PIHP, and designated regional entity for substance use disorder treatment and prevention.

(5) The department shall take all reasonable actions to ensure that the data required are complete and consistent among all CMHSPs, PIHPs, and designated regional entities for substance use disorder prevention and treatment.

Sec. 905. (1) From the funds appropriated in part 1 for behavioral health program administration, the department shall maintain a psychiatric transitional unit and children’s transition support team. These services will augment the continuum of behavioral health services for high-need youth and provide additional continuity of care and transition into supportive community-based services.

(2) Outcomes and performance measures for this initiative include, but are not limited to, the following:

(a) The rate of rehospitalization for youth served through the program at 30 and 180 days.

(b) Measured change in the Child and Adolescent Functional Assessment Scale for children served through the program.

Sec. 907. (1) The amount appropriated in part 1 for community substance use disorder prevention, education, and treatment shall be expended to coordinate care and services provided to individuals with severe and persistent mental illness and substance use disorder diagnoses.

(2) The department shall approve managing entity fee schedules for providing substance use disorder services and charge participants in accordance with their ability to pay.

(3) The managing entity shall continue current efforts to collaborate on the delivery of services to those clients with mental illness and substance use disorder diagnoses with the goal of providing services in an administratively efficient manner.

Sec. 909. From the funds appropriated in part 1 for community substance use disorder prevention, education, and treatment, the department shall use available revenue from the marihuana regulatory fund established in section 604 of the medical marihuana facilities licensing act, 2016 PA 281, MCL 333.27604, to improve physical health; expand access to substance use disorder prevention and treatment services; and strengthen the existing prevention, treatment, and recovery systems.

Sec. 910. The department shall ensure that substance use disorder treatment is provided to applicants and recipients of public assistance through the department who are required to obtain substance use disorder treatment as a condition of eligibility for public assistance.

Sec. 911. (1) The department shall ensure that each contract with a CMHSP or PIHP requires the CMHSP or PIHP to implement programs to encourage diversion of individuals with serious mental illness, serious emotional disturbance, or developmental disability from possible jail incarceration when appropriate.

(2) Each CMHSP or PIHP shall have jail diversion services and shall work toward establishing working relationships with representative staff of local law enforcement agencies, including county prosecutors’ offices, county sheriffs’ offices, county jails, municipal police agencies, municipal detention facilities, and the courts. Written interagency agreements describing what services each participating agency is prepared to commit to the local jail diversion effort and the procedures to be used by local law enforcement agencies to access mental health jail diversion services are strongly encouraged.

Sec. 912. The department shall contract directly with the Salvation Army Harbor Light program to provide non-Medicaid substance use disorder services if the local coordinating agency or the department confirms the Salvation Army Harbor Light program meets the standard of care. The standard of care shall include, but is not limited to, utilization of the medication assisted treatment option.

Sec. 915. (1) By March 1 of the current fiscal year, the department shall report the following information on the mental health and wellness commission to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office:

(a) Previous fiscal year expenditures by actionable recommendation of the mental health and wellness commission.

(b) Programs utilized during the previous fiscal year to address each actionable recommendation of the mental health and wellness commission.

(c) Outcomes and performance measures achieved during the previous fiscal year by actionable recommendation of the mental health and wellness commission.

(d) Current fiscal year funding by actionable recommendation of the mental health and wellness commission.

(e) Current fiscal year funding by program utilized to address each actionable recommendation of the mental health and wellness commission.

(2) By April 1 of the current fiscal year, the department shall report on funding within the executive budget proposal for the fiscal year ending September 30, 2021, by actionable recommendation of the mental health and wellness commission to the same report recipients listed in subsection (1).

Sec. 918. On or before the twenty-fifth of each month, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget director on the amount of funding paid to PIHPs to support the Medicaid managed mental health care program in the preceding month. The information shall include the total paid to each PIHP, per capita rate paid for each eligibility group for each PIHP, and number of cases in each eligibility group for each PIHP, and year-to-date summary of eligibles and expenditures for the Medicaid managed mental health care program.

Sec. 920. (1) As part of the Medicaid rate-setting process for behavioral health services, the department shall work with PIHP network providers and actuaries to include any state and federal wage and compensation increases that directly impact staff who provide Medicaid-funded community living supports, personal care services, respite services, skill-building services, and other similar supports and services as part of the Medicaid rate.

(2) It is the intent of the legislature that any increased Medicaid rate related to state minimum wage increases shall also be distributed to direct care employees.

Sec. 924. From the funds appropriated in part 1 for autism services, for the purposes of actuarially sound rate certification and approval for Medicaid behavioral health managed care programs, the department shall maintain a fee schedule for autism services reimbursement rates for direct services. Expenditures used for rate setting shall not exceed those identified in the fee schedule. The rates for behavioral technicians shall not be more than $55.00 per hour.

Sec. 926. (1) From the funds appropriated in part 1 for community substance use disorder prevention, education, and treatment, $500,000.00 is allocated for a specialized substance use disorder detoxification pilot project administered by a 9-1-1 service district in conjunction with a substance use and case management provider and at a hospital in a city with a population between 95,000 and 97,000 according to the most recent decennial census within a county with a population of at least 1,500,000 according to the most recent decennial census. The hospital must have a wing with at least 10 beds dedicated to stabilizing patients suffering from addiction by providing a specialized trauma therapist as well as a peer support specialist to assist with treatment and counseling.

(2) From the funds appropriated in part 1 for community substance use disorder prevention, education, and treatment, $500,000.00 is allocated for a specialized substance use disorder detoxification pilot project administered by a nonprofit hospital in a city with a population between 185,000 and 190,000 according to the most recent decennial census within a county with a population between 600,000 and 605,000 according to the most recent decennial census. The hospital must have a wing with at least 3 beds dedicated to stabilizing patients suffering from addiction by providing a specialized trauma therapist as well as a peer support specialist to assist with treatment and counseling.

(3) The substance use and case management providers receiving funds under this section shall collect and submit to the department data on the outcomes of the pilot project throughout the duration of the pilot project and shall provide a report on the pilot project’s outcomes to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office.

Sec. 927. The department shall determine what steps are necessary to allow a behavioral health services provider operating in multiple counties to utilize a single audit or consolidate audits, in whole or in part, in order to reduce the administrative and financial burden on both the service provider and the department. The department shall submit a report identifying potential barriers and solutions to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by December 31 of the current fiscal year.

Sec. 928. (1) Each PIHP shall provide, from internal resources, local funds to be used as a part of the state match required under the Medicaid program in order to increase capitation rates for PIHPs. These funds shall not include either state funds received by a CMHSP for services provided to non-Medicaid recipients or the state matching portion of the Medicaid capitation payments made to a PIHP.

(2) It is the intent of the legislature that any funds that lapse from the funds appropriated in part 1 for Medicaid mental health services shall be redistributed to individual CMHSPs as a reimbursement of local funds on a proportional basis to those CMHSPs whose local funds were used as state Medicaid match. By April 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the lapse by PIHP from the previous fiscal year and the projected lapse by PIHP in the current fiscal year.

(3) It is the intent of the legislature that the amount of local funds used in subsection (1) be phased out and offset with state general fund/general purpose revenue in equal amounts over a 5-year period.

(4) Until the local funds are phased out as described in subsection (3), each PIHP shall not be required to provide local funds, used as part of the state match required under the Medicaid program in order to increase capitation rates for PIHPs, at an amount greater than what each PIHP received from local units of government during the fiscal year ending September 30, 2018 for this purpose.

Sec. 935. A county required under the provisions of the mental health code, 1974 PA 258, MCL 330.1001 to 330.2106, to provide matching funds to a CMHSP for mental health services rendered to residents in its jurisdiction shall pay the matching funds in equal installments on not less than a quarterly basis throughout the fiscal year, with the first payment being made by October 1 of the current fiscal year.

Sec. 940. (1) According to section 236 of the mental health code, 1974 PA 258, MCL 330.1236, the department shall do both of the following:

(a) Review expenditures for each CMHSP to identify CMHSPs with projected allocation surpluses and to identify CMHSPs with projected allocation shortfalls. The department shall encourage the board of a CMHSP with a projected allocation surplus to concur with the department’s recommendation to reallocate those funds to CMHSPs with projected allocation shortfalls.

(b) Withdraw unspent funds that have been allocated to a CMHSP if other reallocated funds were expended in a manner not provided for in the approved contract, including expending funds on services and programs provided to individuals residing outside of the CMHSP’s geographic region.

(2) A CMHSP that has its funding allocation transferred out or withdrawn during the current fiscal year as described in subsection (1) is not eligible for any additional funding reallocations during the remainder of the current fiscal year, unless that CMHSP is responding to a public health emergency as determined by the department.

(3) CMHSPs shall report to the department on any proposed reallocations described in this section at least 30 days before any reallocations take effect.

(4) The department shall notify the chairs of the appropriation subcommittees on the department budget when a request is made and when the department grants approval for reallocation or withdraw as described in subsection (1). By September 30 of the current fiscal year, the department shall provide a report on the amount of funding reallocated or withdrawn to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office.

Sec. 942. A CMHSP shall provide at least 30 days’ notice before reducing, terminating, or suspending services provided by a CMHSP to CMHSP clients, with the exception of services authorized by a physician that no longer meet established criteria for medical necessity.

Sec. 950. From the funds appropriated in part 1 for court-appointed guardian reimbursements, the department shall allocate not more than $2,700,000.00 to reimburse court-appointed public guardians for recipients who also receive CMHSP services at a reimbursement of $50.00 per month. It is the intent of the legislature that these funds be used in addition to any other funds currently paid to court-appointed public guardians, but a court-appointed public guardian shall not be compensated more than $83.00 per month for any CMHSP eligible recipients regardless of funding source. By September 15 of the current fiscal year, the department shall provide a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on the number of court-appointed public guardians who received these funds, the number of court-appointed public guardians who were also reimbursed by the counties, and the per-month reimbursement rates provided by the counties.

Sec. 959. (1) The department shall continue to convene a workgroup in collaboration with the chairs of the house and senate appropriations subcommittees on the department budget or their designees, CMHSP members, autism services provider clinical and administrative staff, community members, Medicaid autism services clients, and family members of Medicaid autism services clients to make recommendations to ensure appropriate cost and service provision, including, but not limited to, the following:

(a) Ways to prevent fraud and overdiagnosis.

(b) Comparison of Medicaid rates for autism services to commercial insurance rates.

(c) Comparison of diagnosis process between Medicaid, Tricare, and commercial insurance.

(d) Comparison of the state’s Medicaid autism benefit to current best practices in autism treatment.

(e) Comparison of the state’s autism applied behavior analysis (ABA) outcomes with other states. Outcomes to be compared must include, but are not limited to, the following:

(i) Number of children enrolled in ABA therapy.

(ii) Number of children enrolled in non-ABA interventions.

(iii) ABA benefit utilization and cost per child.

(iv) Average length of time children enrolled in ABA therapy receive ABA therapy.

(v) Short- and long-term outcomes for children enrolled in both ABA therapy and non-ABA interventions.

(f) Evaluation of the diagnostic and outcome factors cited by the autism diagnostic and therapy recommendation pilot project described in section 458 of 2018 PA 618.

(2) By March 1 of the current fiscal year, the department shall provide an update on the workgroup’s recommendations to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office.

Sec. 960. (1) From the funds appropriated in part 1 for autism services, the department shall continue to cover all Medicaid autism services to Medicaid enrollees eligible for the services that were covered on January 1, 2019.

(2) To restrain cost increases in the autism services line item, the department shall do all of the following:

(a) Develop and implement specific written guidance for standardization of Medicaid PIHPs and CMHSPs autism spectrum disorder administrative services, including, but not limited to, reporting requirements, coding, and reciprocity of credentialing and training between PIHPs and CMHSPs to reduce administrative duplication at the PIHP, CMHSP, and service provider levels.

(b) Develop and implement recommended autism diagnosis improvements as determined by the study required under section 458 of 2018 PA 618 to provide for fidelity reviews and secondary approvals of diagnostic and therapy recommendations for children receiving Medicaid who are evaluated for autism services. The department must consider the following when developing their recommendations:

(i) Requiring consultation with the client’s diagnostician and CMHSP to approve the client’s ongoing therapy every 6 months if the initial treatment would cost more than a monthly threshold amount to be specified by the department.

(ii) Limiting the authority to perform a diagnostic evaluation for Medicaid autism services to qualified licensed practitioners. Qualified licensed practitioners are limited to the following:

(A) A physician with a specialty in psychiatry or neurology.

(B) A physician with a subspecialty in developmental pediatrics, development-behavioral pediatrics, or a related discipline.

(C) A physician with a specialty in pediatrics or other appropriate specialty with training, experience, or expertise in autism spectrum disorders or behavioral health.

(D) A psychologist with a specialty in clinical child psychology, behavioral and cognitive psychology, or clinical neuropsychology, or other appropriate specialty with training, experience, or expertise in autism spectrum disorders or behavioral health.

(E) A clinical social worker working within his or her scope of practice who is qualified and experienced in diagnosing autism spectrum disorders.

(F) An advanced practice registered nurse with training, experience, or expertise in autism spectrum disorders or behavioral health.

(G) A physician assistant with training, experience, or expertise in autism spectrum disorders or behavioral health.

(iii) Requiring that diagnoses made by a clinical social worker must be approved by another qualified licensed practitioner who is not a clinical social worker.

(iv) Requiring that a client whose initial diagnosis was performed by a nurse practitioner or a clinical social worker and who requires at least 20 hours a week of therapy must go through a rediagnosis by a multidisciplinary team.

(v) Prohibiting CMHSPs from allowing specific providers to provide both diagnosis and treatment services to individual clients.

(c) Coordinate with the department of insurance and financial services oversight for compliance with the Paul Wellstone and Pete Domenici mental health parity and addiction equity act of 2008, Public Law 110-343, as it relates to autism spectrum disorder services, to ensure appropriate cost sharing between public and private payers.

(3) By March 1 of the current fiscal year, the department shall identify a definition of administrative costs for the Medicaid autism benefit and report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on what the definition of administrative costs for the Medicaid autism benefit is; total autism services spending broken down by PIHP, and CMHSP for the previous fiscal year and current fiscal year; and total administrative costs broken down by PIHP, CMHSP, and type of administrative cost for the previous fiscal year and current fiscal year.

Sec. 961. From the funds appropriated in part 1 for behavioral health program administration, the department shall allocate $150,000.00 to administer an electronic inpatient psychiatric bed registry consistent with the requirements in section 151 of the mental health code, 1974 PA 258, MCL 330.1151.

Sec. 962. For the purposes of special projects involving high-need children or adults, including the not guilty by reason of insanity population, the department may contract directly with providers of services to these identified populations.

Sec. 963. From the funds appropriated in part 1 for court-ordered assisted outpatient treatment, up to $1,000,000.00 shall be allocated to address the implementation of court-ordered assisted outpatient treatment as provided under chapter 4 of the mental health code, 1974 PA 258, MCL 330.1400 to 330.1490.

Sec. 964. The department shall develop and implement a standardized fee schedule for all required Medicaid behavioral health services by January 1 of the current fiscal year. The department shall also develop and implement necessary adequacy standards for use in all contracts with PIHPs and CMHSPs.

Sec. 965. The department shall explore requiring that CMHSPs reimburse medication assisted treatment providers no less than $12.00 per dose, and reimburse drug screen collection at no less than $12.00 per manual screen.

Sec. 970. The department shall maintain the policies in effect on October 1, 2018 for the federal home and community-based services rule as it relates to skill building assistance services. The skill building assistance services shall remain eligible for federal match until March 17, 2022 as stated in the CMS informational bulletin dated May 9, 2017. From the funds appropriated in part 1, the department shall continue to seek federal matching funds for skill building assistance services.

Sec. 972. From the funds appropriated in part 1 for behavioral health program administration, the department shall allocate $2,000,000.00 general fund/general purpose revenue and any associated federal revenue to contract for the development, operation, and maintenance of a Michigan community, access, resources, education, and safety (CARES) hotline consistent with the requirements in section 165 of the mental health code, 1974 PA 258, MCL 330.1165. It is the intent of the legislature that this hotline would be available to all residents of this state, including those residing in rural communities.

Sec. 973. By May 1 of the current fiscal year, the department shall provide a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on evidence-based medically supported protocols for initiation and withdrawal or detoxification from all treatments medically approved by the United States Food and Drug Administration for substance use disorders. The report shall include, but is not limited to, the following:

(a) The percentage of patients on treatments medically approved by the United States Food and Drug Administration for substance use disorders that are transitioned to a comprehensive relapse prevention program that includes a monthly extended-release injectable medication assisted treatment.

(b) Outcomes of different types of comprehensive management programs utilized for all treatments medically approved by the United States Food and Drug Administration for substance use disorders.

(c) Outcomes of different types of evidence-based medically supported protocols for withdrawal or detoxification for all treatments medically approved by the United States Food and Drug Administration, including a monthly extended-release injectable medication-assisted treatment, including instances of patient deaths from overdose that occur within 1 year after the completion of evidence-based medically supported protocols for withdrawal or detoxification.

(d) Whether the department recommends changes in how the department administers, whether directly or through the PIHPs, comprehensive evidence-based treatment protocols for all treatments medically approved by the United States Food and Drug Administration for substance use disorders.

Sec. 974. The department and PIHPs may allow an individual with an intellectual or developmental disability who receives supports and services from a CMHSP to instead receive supports and services from another provider if the individual shows that he or she is eligible and qualified to receive supports and services from another provider. Other providers may include, but are not limited to, MIChoice and program of all-inclusive care for the elderly (PACE).

Sec. 977. From the funds appropriated in part 1 for community substance use disorder prevention, education, and treatment, $600,000.00 of federal state response to the opioid crisis grant revenue is allocated as grants to high schools specifically designated for students recovering from a substance use disorder to support the costs of counselors, therapeutic staff, and recovery coaching staff, with a priority placed on the cost of substance use disorder counselors. Each grant shall not exceed $150,000.00 per high school.

Sec. 978. From the funds appropriated in part 1 for community substance use disorder prevention, education, and treatment, the department shall allocate $600,000.00 of federal state response to the opioid crisis grant revenue to create a competitive grant for recovery community organizations to offer or expand recovery support center services or recovery community center services to individuals seeking long-term recovery from substance use disorders. An organization may not receive a grant in excess of $150,000.00. In awarding grants, priority shall be placed on recovery community organizations that do the following:

(a) Provide recovery support navigation that includes the following:

(i) Multiple recovery pathways.

(ii) Assisting individuals navigate recovery resources such as detoxification, treatment, recovery housing, support groups, peer support, and family support.

(iii) The promotion of community wellness and engagement.

(iv) Recovery advocacy that provides hope and encourages recovery.

(v) A peer-led, peer-driven organization that offers recovery to any individual seeking recovery from addiction.

(b) Provide recovery outreach education that includes the following:

(i) On-site recovery education in the workplace.

(ii) All staff employee meetings.

(iii) On-site support for employees and family members.

(iv) Connections for employees and family members of employees suffering from addiction to local recovery resources such as treatment, recovery housing, and support groups.

(v) Connections with employers to provide recovery advocacy.

(c) Provide recovery activities and events that include the following:

(i) Safe, ongoing recovery activities and events.

(ii) Opportunities to volunteer and participate in activities and events.

(iii) Opportunities for family members and supporters of recovery to be involved.

(iv) Meetings and activities on nutrition, health, and wellness.

(v) Meetings and activities on mindfulness, meditation, and yoga.

Sec. 979. The department shall review the feasibility of utilizing Medicaid funding for services provided at adult psychiatric residential treatment facilities. By March 1 of the current fiscal year, the department shall report its findings to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office.

Sec. 994. (1) By January 1 of the current fiscal year, the department shall seek, if necessary, federal approval through either a waiver request or state plan amendment to allow a CMHSP, PIHP, or subcontracting provider agency that is reviewed and accredited by a national accrediting entity for behavioral health care services to be considered in compliance with state program review and audit requirements that are addressed and reviewed by that national accrediting entity.

(2) By April 1 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office all of the following:

(a) The status of the federal approval process required in subsection (1).

(b) A list of each CMHSP, PIHP, and subcontracting provider agency that is considered to be in compliance with state program review and audit requirements under subsection (1).

(c) For each CMHSP, PIHP, or subcontracting provider agency described in subdivision (b), both of the following:

(i) The state program review and audit requirements that the CMHSP, PIHP, or subcontracting provider agency is considered to be in compliance with.

(ii) The national accrediting entity that reviewed and accredited the CMHSP, PIHP, or subcontracting provider agency.

(3) The department shall continue to comply with state and federal law and shall not initiate an action that negatively impacts beneficiary safety. Any cost savings attributed to this action shall be reinvested back into services.

(4) As used in this section, “national accrediting entity” means the Joint Commission, formerly known as the Joint Commission on Accreditation of Healthcare Organizations, the Commission on Accreditation of Rehabilitation Facilities, the Council on Accreditation, the URAC, formerly known as the Utilization Review Accreditation Commission, the National Committee for Quality Assurance, or another appropriate entity, as approved by the department.

Sec. 995. From the funds appropriated in part 1 for mental health diversion council, $4,350,000.00 is intended to address the recommendations of the mental health diversion council.

Sec. 996. From the funds appropriated in part 1 for family support subsidy, the department shall make monthly payments of $229.31 to the parents or legal guardians of children approved for the family support subsidy by a CMHSP.

Sec. 997. The population data used in determining the distribution of substance use disorder block grant funds shall be from the most recent federal census.

Sec. 998. For distribution of state general funds to CMHSPs, if the department decides to use census data, the department shall use the most recent federal census data available.

Sec. 999. Within 30 days after the completion of a statewide PIHP reimbursement audit, the department shall provide the audit report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office.

BEHAVIORAL HEALTH SERVICES

Sec. 1001. By December 31 of the current fiscal year, each CMHSP shall submit a report to the department that identifies populations being served by the CMHSP broken down by program eligibility category. The report shall also include the percentage of the operational budget that is related to program eligibility enrollment. By February 15 of the current fiscal year, the department shall submit the report described in this section to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office.

Sec. 1003. The department shall notify the Community Mental Health Association of Michigan when developing policies and procedures that will impact PIHPs or CMHSPs.

Sec. 1004. The department shall provide the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office any rebased formula changes to either Medicaid behavioral health services or non-Medicaid mental health services 90 days before implementation. The notification shall include a table showing the changes in funding allocation by PIHP for Medicaid behavioral health services or by CMHSP for non-Medicaid mental health services.

Sec. 1008. PIHPs and CMHSPs shall do all of the following:

(a) Work to reduce administration costs by ensuring that PIHP and CMHSP responsible functions are efficient in allowing optimal transition of dollars to those direct services considered most effective in assisting individuals served. Any consolidation of administrative functions must demonstrate, by independent analysis, a reduction in dollars spent on administration resulting in greater dollars spent on direct services. Savings resulting from increased efficiencies shall not be applied to PIHP and CMHSP net assets, internal service fund increases, building costs, increases in the number of PIHP and CMHSP personnel, or other areas not directly related to the delivery of improved services.

(b) Take an active role in managing mental health care by ensuring consistent and high-quality service delivery throughout its network and promote a conflict-free care management environment.

(c) Ensure that direct service rate variances are related to the level of need or other quantifiable measures to ensure that the most money possible reaches direct services.

(d) Whenever possible, promote fair and adequate direct care reimbursement, including fair wages for direct service workers.

Sec. 1009. (1) From the funds appropriated in part 1 for Medicaid mental health services and Healthy Michigan plan - behavioral health, the department shall maintain the hourly wage for direct care workers from the previous fiscal year. Funds provided in this section must be utilized by a PIHP to maintain the wage increase for direct care worker wages, for the employer’s share of federal insurance contributions act costs, purchasing worker’s compensation insurance, or the employer’s share of unemployment costs.

(2) Each PIHP shall report to the department by February 1 of the current fiscal year the range of wages paid to direct care workers, including information on the number of direct care workers at each wage level.

(3) The department shall report the information required to be reported according to subsection (2) to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by March 1 of the current fiscal year.

Sec. 1010. The funds appropriated in part 1 for behavioral health community supports and services must be used to expand assertive community treatment (ACT), forensic assertive community treatment (FACT), and supportive housing and residential programs for the purpose of reducing waiting lists at state-operated hospitals and centers through cost‑effective community-based services.

STATE PSYCHIATRIC HOSPITALS AND FORENSIC MENTAL HEALTH SERVICES

Sec. 1051. The department shall continue a revenue recapture project to generate additional revenues from third parties related to cases that have been closed or are inactive. A portion of revenues collected through project efforts may be used for departmental costs and contractual fees associated with these retroactive collections and to improve ongoing departmental reimbursement management functions.

Sec. 1052. The purpose of gifts and bequests for patient living and treatment environments is to use additional private funds to provide specific enhancements for individuals residing at state-operated facilities. Use of the gifts and bequests shall be consistent with the stipulation of the donor. The expected completion date for the use of gifts and bequests donations is within 3 years unless otherwise stipulated by the donor.

Sec. 1053. The funds appropriated in part 1 for behavioral health facility contingency are not available for expenditure until they have been transferred to another line item in part 1 under section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

Sec. 1055. (1) The department shall not implement any closures or consolidations of state hospitals, centers, or agencies until CMHSPs or PIHPs have programs and services in place for those individuals currently in those facilities and a plan for service provision for those individuals who would have been admitted to those facilities.

(2) All closures or consolidations are dependent upon adequate department-approved CMHSP and PIHP plans that include a discharge and aftercare plan for each individual currently in the facility. A discharge and aftercare plan shall address the individual’s housing needs. A homeless shelter or similar temporary shelter arrangements are inadequate to meet the individual’s housing needs.

(3) Four months after the certification of closure required in section 19(6) of the state employees’ retirement act, 1943 PA 240, MCL 38.19, the department shall provide a closure plan to the house and senate appropriations subcommittees on the department budget and the state budget director.

(4) Upon the closure of state-run operations and after transitional costs have been paid, the remaining balances of funds appropriated for that operation shall be transferred to CMHSPs or PIHPs responsible for providing services for individuals previously served by the operations.

Sec. 1056. The department may collect revenue for patient reimbursement from first- and third-party payers, including Medicaid and local county CMHSP payers, to cover the cost of placement in state hospitals and centers. The department is authorized to adjust financing sources for patient reimbursement based on actual revenues earned. If the revenue collected exceeds current year expenditures, the revenue may be carried forward with approval of the state budget director. The revenue carried forward shall be used as a first source of funds in the subsequent year.

Sec. 1057. From the funds appropriated in part 1 for Kalamazoo Psychiatric Hospital, the department shall appropriate $1,000,000.00 to hire additional staff at the Kalamazoo Psychiatric Hospital.

Sec. 1058. Effective October 1 of the current fiscal year, the department, in consultation with the department of technology, management, and budget, may maintain a bid process to identify 1 or more private contractors to provide food service and custodial services for the administrative areas at any state hospital identified by the department as capable of generating savings through the outsourcing of such services.

Sec. 1059. (1) The department shall identify specific outcomes and performance measures for state-operated hospitals and centers, including, but not limited to, the following:

(a) The average wait time for persons determined incompetent to stand trial before admission to the center for forensic psychiatry.

(b) The average wait time for persons determined incompetent to stand trial before admission to other state-operated psychiatric facilities.

(c) The number of persons waiting to receive services at the center for forensic psychiatry.

(d) The number of persons waiting to receive services at other state-operated hospitals and centers.

(e) The number of persons determined not guilty by reason of insanity or incompetent to stand trial by an order of a probate court that have been determined to be ready for discharge to the community, and the average wait time between being determined to be ready for discharge to the community and actual community placement.

(f) The number of persons denied services at the center for forensic psychiatry.

(g) The number of persons denied services at other state-operated hospitals and centers.

(2) By March 1 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on the outcomes and performance measures in subsection (1).

Sec. 1060. (1) The department shall continue to convene a workgroup that meets at least quarterly in collaboration with the chairs of the house and senate appropriations subcommittees on the department budget or their designees, labor union representation, civil service, and any other appropriate parties to recommend solutions to address mandatory overtime, staff turnover, and staff retention at the state psychiatric hospitals and centers, including, but not limited to, permitting retired workers to return, permitting 12-hour shifts, and permitting hiring of part-time workers.

(2) By March 1 of the current fiscal year, the department shall provide a status update on the department’s implementation of the workgroup’s recommendations to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office. The report shall include, but is not limited to, the following:

(a) Descriptions of the measures being implemented.

(b) Descriptions of the measures not being implemented and barriers preventing implementation.

(c) The number of direct care and clinical staff positions that are currently vacant by hospital.

(d) A breakdown of voluntary and mandatory overtime hours worked by position and by hospital.

(e) The ranges of wages paid by position and by hospital.

Sec. 1061. The funds appropriated in part 1 for Caro Regional Mental Health Center shall only be utilized to support a psychiatric hospital located at its current location. It is the intent of the legislature that the Caro Regional Mental Health Center shall remain open and operational at its current location on an ongoing basis. Capital outlay funding shall be utilized for planning and construction of a new or updated facility at the current location instead of at a new location.

HEALTH AND HUMAN SERVICES POLICY AND INITIATIVES

Sec. 1140. From the funds appropriated in part 1 for primary care services, $400,000.00 shall be allocated to free health clinics operating in the state. The department shall distribute the funds equally to each free health clinic. For the purpose of this appropriation, “free health clinics” means nonprofit organizations that use volunteer health professionals to provide care to uninsured individuals.

Sec. 1141. From the funds appropriated in part 1 for Michigan essential health provider, $1,000,000.00 of general fund/general purpose revenue shall be appropriated to assist in the repayment of a medical education loan for a participating physician who enters into a contract to work with an employer for no less than 2 years in a federally designated health provider shortage area with a population no greater than 40,000 according to the most recent decennial census.

Sec. 1142. The department shall continue to seek means to increase retention of Michigan medical school students for completion of their primary care residency requirements within this state and ultimately, for some period of time, to remain in this state and serve as primary care physicians. The department is encouraged to work with Michigan institutions of higher education.

Sec. 1143. From the funds appropriated in part 1 for primary care services, the department shall allocate no less than $675,000.00 for island primary health care access and services including island clinics, in the following amounts:

(a) Beaver Island, $250,000.00.

(b) Mackinac Island, $250,000.00.

(c) Drummond Island, $150,000.00.

(d) Bois Blanc Island, $25,000.00.

Sec. 1144. (1) From the funds appropriated in part 1 for health policy administration, the department shall allocate the federal state innovation model grant funding that supports implementation of the health delivery system innovations detailed in this state’s “Reinventing Michigan’s Health Care System: Blueprint for Health Innovation” document. This initiative will test new payment methodologies, support improved population health outcomes, and support improved infrastructure for technology and data sharing and reporting. The funds will be used to provide financial support directly to regions participating in the model test and to support statewide stakeholder guidance and technical support.

(2) Outcomes and performance measures for the initiative under subsection (1) include, but are not limited to, the following:

(a) Increasing the number of physician practices fulfilling patient-centered medical home functions.

(b) Reducing inappropriate health utilization, specifically reducing preventable emergency department visits, reducing the proportion of hospitalizations for ambulatory sensitive conditions, and reducing this state’s 30-day hospital readmission rate.

(3) On a semiannual basis, the department shall submit a written report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office on the status of the program and progress made since the prior report.

(4) From the funds appropriated in part 1 for health policy administration, any data aggregator created as part of the allocation of the federal state innovation model grant funds must meet the following standards:

(a) The primary purpose of the data aggregator must be to increase the quality of health care delivered in this state, while reducing costs.

(b) The data aggregator must be governed by a nonprofit entity.

(c) All decisions regarding the establishment, administration, and modification of the database must be made by an advisory board. The membership of the advisory board must include the director of the department or a designee of the director and representatives of health carriers, consumers, and purchasers.

(d) The Michigan Data Collaborative shall be the data aggregator to receive health care claims information from, without limitation, commercial health carriers, nonprofit health care corporations, health maintenance organizations, and third party administrators that process claims under a service contract.

(e) The data aggregator must use existing data sources and technological infrastructure, to the extent possible.

Sec. 1145. The department will take steps necessary to work with Indian Health Service, tribal health program facilities, or Urban Indian Health Program facilities that provide services under a contract with a Medicaid managed care entity to ensure that those facilities receive the maximum amount allowable under federal law for Medicaid services.

Sec. 1150. The department shall coordinate with the department of licensing and regulatory affairs, the department of the attorney general, all appropriate law enforcement agencies, and the Medicaid health plans to reduce fraud related to opioid prescribing within Medicaid, and to address other appropriate recommendations of the prescription drug and opioid abuse task force outlined in its report of October 2015. By October 1 of the current fiscal year, the department shall submit a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on steps the department has taken to coordinate with the entities listed in this section and other stakeholders to reduce fraud related to opioid prescribing, and to address other appropriate recommendations of the task force.

Sec. 1151. The department shall coordinate with the department of licensing and regulatory affairs, the department of the attorney general, all appropriate law enforcement agencies, and the Medicaid health plans to work with local substance use disorder agencies and addiction treatment providers to help inform Medicaid beneficiaries of all medically appropriate treatment options for opioid addiction when their treating physician stops prescribing prescription opioid medication for pain, and to address other appropriate recommendations of the prescription drug and opioid abuse task force outlined in its report of October 2015. By October 1 of the current fiscal year, the department shall submit a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on how the department is working with local substance use disorder agencies and addiction treatment providers to ensure that Medicaid beneficiaries are informed of all available and medically appropriate treatment options for opioid addiction when their treating physician stops prescribing prescription opioid medication for pain, and to address other appropriate recommendations of the task force. The report shall include any potential barriers to medication-assisted treatment, as recommended by the Michigan medication-assisted treatment guidelines, for Medicaid beneficiaries in both office-based opioid treatment and opioid treatment program facility settings.

Sec. 1152. The Michigan rehabilitation services shall work collaboratively with the bureau of services for blind persons, service organizations, and government entities to identify qualified match dollars to maximize use of available federal vocational rehabilitation funds.

Sec. 1153. The department shall provide an annual report by February 1 to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on efforts taken to improve the Michigan rehabilitation services. The report shall include all of the following items:

(a) Reductions and changes in administration costs and staffing.

(b) Service delivery plans and implementation steps achieved.

(c) Reorganization plans and implementation steps achieved.

(d) Plans to integrate Michigan rehabilitative services programs into other services provided by the department.

(e) Quarterly expenditures by major spending category.

(f) Employment and job retention rates from both Michigan rehabilitation services and its nonprofit partners.

(g) Success rate of each district in achieving the program goals.

Sec. 1154. (1) From the funds appropriated in part 1 for Michigan rehabilitation services, the department shall allocate $50,000.00 along with available federal match to support the provision of vocational rehabilitation services to eligible agricultural workers with disabilities. Authorized services shall assist agricultural workers with disabilities in acquiring or maintaining quality employment and independence.

(2) By March 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the total number of clients served and the total amount of federal matching funds obtained throughout the duration of the program.

Sec. 1155. (1) It is the intent of the legislature that Michigan rehabilitation services shall not implement an order of selection for vocational and rehabilitative services. If the department is at risk of entering into an order of selection for services, the department shall notify the chairs of the senate and house appropriations subcommittees on the department budget and the senate and house fiscal agencies and policy offices within 2 weeks of receiving notification.

(2) It is the intent of the legislature that the department coordinate with Michigan rehabilitation services, Michigan Works!, local technological and trade schools and programs, local community mental health offices, and other local entities, public and private, in order to fully utilize open Michigan rehabilitation services programming space, regardless of eligibility criteria.

Sec. 1156. From the funds appropriated in part 1 for Michigan rehabilitation services, the department shall allocate $6,100,300.00, including federal matching funds, to service authorizations with community-based rehabilitation organizations for an array of needed services throughout the rehabilitation process.

Sec. 1158. (1) Funds appropriated in part 1 for independent living shall be used to support the general operations of centers for independent living in delivering mandated independent living services in compliance with federal rules and regulations for the centers, by existing centers for independent living to serve underserved areas, and for projects to build the capacity of centers for independent living to deliver independent living services. Applications for the funds shall be reviewed in accordance with criteria and procedures established by the department. The funds appropriated in part 1 may be used to leverage federal vocational rehabilitation funds up to $5,543,000.00, if available. If the possibility of matching federal funds exists, the centers for independent living network will negotiate a mutually beneficial cooperative agreement with Michigan rehabilitation services. Funds shall be used in a manner consistent with the state plan for independent living. Services provided should assist people with disabilities to move toward self-sufficiency, including support for accessing transportation and health care, obtaining employment, community living, nursing home transition, information and referral services, education, youth transition services, veterans, and stigma reduction activities and community education. This includes the independent living guide services that specifically focus on economic self-sufficiency.

(2) The Michigan centers for independent living shall provide a report by March 1 of the current fiscal year to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on direct customer and system outcomes and performance measures.

EPIDEMIOLOGY AND POPULATION HEALTH

Sec. 1180. From the funds appropriated in part 1 for epidemiology administration and for childhood lead program, the department shall maintain a public health drinking water unit and maintain enhanced efforts to monitor child blood lead levels. The public health drinking water unit shall ensure that appropriate investigations of potential health hazards occur for all community and noncommunity drinking water supplies where chemical exceedances of action levels, health advisory levels, or maximum contaminant limits are identified. The goals of the childhood lead program shall include improving the identification of affected children, the timeliness of case follow-up, and attainment of nurse care management for children with lead exposure, and to achieve a long-term reduction in the percentage of children in this state with elevated blood lead levels.

Sec. 1181. From the funds appropriated in part 1 for epidemiology administration, the department shall maintain a vapor intrusion response unit. The vapor intrusion response unit shall assess risks to public health at vapor intrusion sites and respond to vapor intrusion risks where appropriate. The goals of the vapor intrusion response unit shall include reducing the number of residents of this state exposed to toxic substances through vapor intrusion and improving health outcomes for individuals that are identified as having been exposed to vapor intrusion.

Sec. 1182. (1) From the funds appropriated in part 1 for the healthy homes program, no less than $4,607,400.00 of general fund/general purpose funds and $20,942,600.00 of federal funds shall be allocated for lead abatement of homes.

(2) By January 1 of the current fiscal year, the department shall provide a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office on the expenditures and activities undertaken by the lead abatement program in the previous fiscal year from the funds appropriated in part 1 for the healthy homes program. The report shall include, but is not limited to, a funding allocation schedule, expenditures by category of expenditure and by subcontractor, revenues received, description of program elements, and description of program accomplishments and progress.

LOCAL HEALTH AND ADMINISTRATIVE SERVICES

Sec. 1220. The amount appropriated in part 1 for implementation of the 1993 additions of or amendments to sections 9161, 16221, 16226, 17014, 17015, and 17515 of the public health code, 1978 PA 368, MCL 333.9161, 333.16221, 333.16226, 333.17014, 333.17015, and 333.17515, shall be used to reimburse local health departments for costs incurred related to implementation of section 17015(18) of the public health code, 1978 PA 368, MCL 333.17015.

Sec. 1221. If a county that has participated in a district health department or an associated arrangement with other local health departments takes action to cease to participate in such an arrangement after October 1 of the current fiscal year, the department shall have the authority to assess a penalty from the local health department’s operational accounts in an amount equal to no more than 6.25% of the local health department’s essential local public health services funding. This penalty shall only be assessed to the local county that requests the dissolution of the health department.

Sec. 1222. (1) Funds appropriated in part 1 for essential local public health services shall be prospectively allocated to local health departments to support immunizations, infectious disease control, sexually transmitted disease control and prevention, hearing screening, vision services, food protection, public water supply, private groundwater supply, and on-site sewage management. Food protection shall be provided in consultation with the department of agriculture and rural development. Public water supply, private groundwater supply, and on-site sewage management shall be provided in consultation with the department of environment, Great Lakes, and energy.

(2) Local public health departments shall be held to contractual standards for the services in subsection (1).

(3) Distributions in subsection (1) shall be made only to counties that maintain local spending in the current fiscal year of at least the amount expended in fiscal year 1992-1993 for the services described in subsection (1).

(4) By December 1 of the current fiscal year, the department shall provide a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget director on the planned allocation of the funds appropriated for essential local public health services.

Sec. 1225. The department shall work with the Michigan health endowment fund corporation established under section 653 of the nonprofit health care corporation reform act, 1980 PA 350, MCL 550.1653, to explore ways to fund and evaluate current and future policies and programs.

Sec. 1226. From the funds appropriated in part 1 for chronic disease control and health promotion administration, $1,000,000.00 shall be allocated for a school children’s healthy exercise program to promote and advance physical health for school children in kindergarten through grade 8. The department shall recommend model programs for sites to implement that incorporate evidence-based best practices. The department shall grant no less than 1/2 of the funds appropriated in part 1 for before- and after-school programs. The department shall establish guidelines for program sites, which may include schools, community-based organizations, private facilities, recreation centers, or other similar sites. The program format shall encourage local determination of site activities and shall encourage local inclusion of youth in the decision-making regarding site activities. Program goals shall include children experiencing improved physical health and access to physical activity opportunities, the reduction of obesity, providing a safe place to play and exercise, and nutrition education. To be eligible to participate, program sites shall provide a 20% match to the state funding, which may be provided in full, or in part, by a corporation, foundation, or private partner. The department shall seek financial support from corporate, foundation, or other private partners for the program or for individual program sites.

Sec. 1227. The department shall establish criteria for all funds allocated for health and wellness initiatives. The criteria must include a requirement that all programs funded be evidence-based and supported by research, include interventions that have been shown to demonstrate outcomes that lower cost and improve quality, and be designed for statewide impact. Preference must be given to programs that utilize the funding as match for additional resources, including, but not limited to, federal sources.

Sec. 1228. (1) From the funds appropriated in part 1 for injury control intervention project, $1,500,000.00 shall be allocated for implementation of evidence-based, real-time, quality assurance decision support software in the treatment of traumatic brain injury and for protocols that are to be available to all hospitals providing those trauma services. The funds shall be used to purchase statewide licenses for traumatic brain injury treatment software and related software services and to offset hospital software integration costs. The department shall seek federal matching funds that may be available for implementation of this section.

(2) By March 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on both of the following:

(a) Expenditures broken down by purpose of expenditure.

(b) Expenditures broken down by hospital.

Sec. 1231. (1) From the funds appropriated for local health services, up to $4,750,000.00 shall be allocated for grants to local public health departments to support PFAS response and emerging public health threat activities. A portion of the funding shall be allocated by the department in a collaborative fashion with local public health departments in jurisdictions experiencing PFAS contamination. The remainder of the funding shall be allocated to address infectious and vector-borne disease threats, and other environmental contamination issues such as vapor intrusion, drinking water contamination, and lead exposure. The funding shall be allocated to address issues including, but not limited to, staffing, planning and response, and creation and dissemination of materials related to PFAS contamination issues and other emerging public health issues and threats.

(2) By February 1 of the current fiscal year, the department shall provide a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office on actual expenditures in the previous fiscal year and planned spending in the current fiscal year of the funds described in subsection (1), including recipient entities, amount of allocation, general category of allocation, and detailed uses.

Sec. 1232. It is the intent of the legislature that the United States Department of Defense shall reimburse the state for costs associated with PFAS and environmental contamination response at military training sites and support facilities.

Sec. 1233. General fund and state restricted fund appropriations in part 1 shall not be expended for PFAS and environmental contamination response where federal funding or private grant funding is available for the same expenditures.

Sec. 1234. (1) By October 1 of the current fiscal year, the department shall implement the distribution formula for the allocation of essential local public health services funding to local health departments as specified by section 1234 of article X of 2018 PA 207.

(2) From the funds appropriated in part 1 for essential local public health services, each local public health department is allocated not less than the amount allocated to that local public health department during the previous fiscal year.

Sec. 1238. The department shall establish a workgroup to determine the cost of establishing lead elimination and response. By March 1 of the current fiscal year, the department shall provide a report on the findings of the workgroup to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget director.

Sec. 1239. The department shall participate in and give necessary assistance to the Michigan PFAS action response team (MPART) pursuant to Executive Order No. 2019-03. The department shall collaborate with MPART and other departments to carry out appropriate activities, actions, and recommendations as coordinated by MPART. Efforts shall be continuous to ensure that the department’s activities are not duplicative with activities of another department or agency.

FAMILY HEALTH SERVICES

Sec. 1301. (1) Before April 1 of the current fiscal year, the department shall submit a report to the house and senate fiscal agencies and the state budget director on planned allocations from the amounts appropriated in part 1 for local MCH services, prenatal care outreach and service delivery support, family planning local agreements, and pregnancy prevention programs. Using applicable federal definitions, the report shall include information on all of the following:

(a) Funding allocations.

(b) Actual number of women, children, and adolescents served and amounts expended for each group for the immediately preceding fiscal year.

(c) A breakdown of the expenditure of these funds between urban and rural communities.

(2) The department shall ensure that the distribution of funds through the programs described in subsection (1) takes into account the needs of rural communities.

(3) For the purposes of this section, “rural” means a county, city, village, or township with a population of 30,000 or less, including those entities if located within a metropolitan statistical area.

Sec. 1302. Each family planning program receiving federal title X family planning funds under 42 USC 300 to 300a-8 shall be in compliance with all performance and quality assurance indicators that the office of population affairs within the United States Department of Health and Human Services specifies in the program guidelines for project grants for family planning services. An agency not in compliance with the indicators shall not receive supplemental or reallocated funds.

Sec. 1303. The department shall not contract with an organization that provides elective abortions, abortion counseling, or abortion referrals, for services that are to be funded with state restricted or state general fund/general purpose funds appropriated in part 1 for family planning local agreements. An organization under contract with the department shall not subcontract with an organization that provides elective abortions, abortion counseling, or abortion referrals, for services that are to be funded with state restricted or state general fund/general purpose funds appropriated in part 1 for family planning local agreements.

Sec. 1304. The department shall not use state restricted funds or state general funds, or allow grantees or subcontractors to use those funds, appropriated in part 1 in the pregnancy prevention program or family planning local agreements appropriation line items for abortion counseling, referrals, or services.

Sec. 1305. (1) From the funds appropriated in part 1 for family planning local agreements and the pregnancy prevention program, the department shall not contract with or award grants to an entity that engages in 1 or more of the activities described in section 1(2) of 2002 PA 360, MCL 333.1091, if the entity is located in a county or health district where family planning or pregnancy prevention services are provided by the county, the health district, or a qualified entity that does not engage in any of the activities described in section 1(2) of 2002 PA 360, MCL 333.1091.

(2) The department shall give priority to counties or health districts where no contracts or grants currently exist for family planning or pregnancy prevention services before contracting with or awarding grants to an entity that engages in 1 or more of the activities described in section 1(2) of 2002 PA 360, MCL 333.1091, if that entity is located in a county where family planning and pregnancy prevention services are provided by the county, the health district, or another qualified entity that does not engage in the activities described in section 1(2) of 2002 PA 360, MCL 333.1091.

Sec. 1307. From the funds appropriated in part 1 for prenatal care outreach and service delivery support, $700,000.00 of TANF revenue shall be allocated for a pregnancy and parenting support services program, which must promote childbirth, alternatives to abortion, and grief counseling. The department shall establish a program with a qualified contractor that will contract with qualified service providers to provide free counseling, support, and referral services to eligible women during pregnancy through 12 months after birth. As appropriate, the goals for client outcomes shall include an increase in client support, an increase in childbirth choice, an increase in adoption knowledge, an improvement in parenting skills, and improved reproductive health through abstinence education. The contractor of the program shall provide for program training, client educational material, program marketing, and annual service provider site monitoring. The department shall submit a report to the house and senate appropriations subcommittees on the department budget and the house and senate fiscal agencies by April 1 of the current fiscal year on the number of clients served.

Sec. 1308. From the funds appropriated in part 1 for prenatal care outreach and service delivery support, not less than $500,000.00 of funding shall be allocated for evidence-based programs to reduce infant mortality including nurse family partnership programs. The funds shall be used for enhanced support and education to nursing teams or other teams of qualified health professionals, client recruitment in areas designated as underserved for obstetrical and gynecological services and other high-need communities, strategic planning to expand and sustain programs, and marketing and communications of programs to raise awareness, engage stakeholders, and recruit nurses.

Sec. 1309. The department shall allocate funds appropriated in section 117 of part 1 for family, maternal, and child health according to section 1 of 2002 PA 360, MCL 333.1091.

Sec. 1310. Each family planning program receiving federal title X family planning funds under 42 USC 300 to 300a‑8 must be in compliance with all title X rules established by the Office of Population Affairs within the United States Department of Health and Human Services. The department shall monitor all title X family planning programs to ensure compliance with all federal title X rules. An agency not in compliance with the rules shall not receive supplemental or reallocated funds.

Sec. 1311. From the funds appropriated in part 1 for prenatal care outreach and service delivery support, not less than $2,750,000.00 state general fund/general purpose funds shall be allocated for a rural home visit program. Equal consideration shall be given to all eligible evidence-based providers in all regions in contracting for rural home visitation services.

Sec. 1312. From the funds appropriated in part 1 for prenatal care and premature birth avoidance grant, the department shall allocate $1,000,000.00 as a grant to help fulfill contract obligations between the department and a federal Healthy Start Program located in a county with a population between 600,000 and 610,000 according to the most recent decennial census. To be eligible to receive funding, the organization must be a partnership between various health agencies, and utilize a social impact bonding strategy approved by the department to enhance support to underserved populations for prenatal care and premature birth avoidance.

Sec. 1313. (1) The department shall continue developing an outreach program on fetal alcohol syndrome services, targeting health promotion, prevention, and intervention as described in the Michigan fetal alcohol spectrum disorders 5-year plan 2015-2020.

(2) The department shall explore federal grant funding to address prevention services for fetal alcohol syndrome and reduce alcohol consumption among pregnant women.

(3) By February 1 of the current fiscal year, the department shall provide a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office on planned spending of appropriations within the department budget for fetal alcohol syndrome projects and services, including appropriation line item, agency or recipient entities, amount and purpose of allocation, and detailed uses.

Sec. 1314. The department shall seek to enhance education and outreach efforts that encourage women of childbearing age to seek confirmation at the earliest indication of possible pregnancy and initiate continuous and routine prenatal care upon confirmation of pregnancy. The department shall seek to ensure that department programs, policies, and practices promote prenatal and obstetrical care by doing the following:

(a) Supporting access to care.

(b) Reducing and eliminating barriers to care.

(c) Supporting recommendations for best practices.

(d) Encouraging optimal prenatal habits such as prenatal medical visits, use of prenatal vitamins, and cessation of use of tobacco, alcohol, or drugs.

(e) Tracking of birth outcomes to study improvements in prevalence of fetal drug addiction, fetal alcohol syndrome, and other preventable neonatal disease.

(f) Tracking of maternal increase in healthy behaviors following childbirth.

Sec. 1315. (1) From the funds appropriated in part 1 for dental programs, $150,000.00 shall be allocated to the Michigan Dental Association for the administration of a volunteer dental program that provides dental services to the uninsured.

(2) By December 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house standing committees on health policy, the senate and house fiscal agencies, and the state budget office the number of individual patients treated, number of procedures performed, and approximate total market value of those procedures from the previous fiscal year.

Sec. 1316. The department shall use revenue from mobile dentistry facility permit fees received under section 21605 of the public health code, 1978 PA 368, MCL 333.21605, to offset the cost of the permit program.

Sec. 1317. (1) From the funds appropriated in part 1 for dental programs, $1,550,000.00 of general fund/general purpose revenue and any associated federal match shall be distributed to local health departments who partner with a qualified nonprofit provider of dental services for the purpose of providing high-quality dental homes for seniors, children, and adults enrolled in Medicaid, and low-income uninsured.

(2) In order to be considered a qualified nonprofit provider of dental services, the provider must demonstrate the following:

(a) An effective health insurance enrollment process for uninsured patients.

(b) An effective process of charging patients on a sliding scale based on the patient’s ability to pay.

(c) Utilization of additional fund sources including, but not limited to, federal Medicaid matching funds.

(3) Providers shall report to the department by September 30 of the current fiscal year on outcomes and performance measures for the program under this section including, but not limited to, the following:

(a) The number of uninsured patients who visited a participating dentist over the previous year, broken down between adults and children.

(b) The number of patients assisted with health insurance enrollment, broken down between adults and children.

(c) A 5-year trend of the number of uninsured patients being served, broken down between adults and children.

(d) The number of unique patient visits by center.

(e) The number of unique Medicaid or Healthy Michigan plan patients served broken down by center.

(f) The number of children, seniors, and veterans served broken down by center.

(g) The total value of services rendered by the organization broken down by center.

(4) Within 15 days after receipt of the report required in subsection (3), the department shall provide a copy of the report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office.

Sec. 1319. From the funds appropriated in part 1 for dental programs, $2,000,000.00 shall be allocated for an oral health assessment program for children entering public school kindergarten. The program shall provide assessments free of charge to children who do not have dental coverage. The department shall consider cost-effectiveness and quality of services when awarding contracts to administer and provide services under this program. The department shall not mandate that local health departments provide assessments. It is the intent of the legislature that, if needed, non-state matching funding shall be procured in an equivalent amount to support the costs of the program.

Sec. 1320. It is the intent of the legislature that funds appropriated in part 1 that may be expended for a public media campaign regarding publicly funded family planning or pregnancy prevention services shall not be used to communicate in that media campaign any message that implies, states, or can be interpreted to mean that abortion is a method of family planning or pregnancy prevention.

Sec. 1340. The department shall include national brand options on the list of approved women, infants, and children special supplemental nutrition program basket items for all categories.

Sec. 1341. The department shall utilize income eligibility and verification guidelines established by the Food and Nutrition Service agency of the United States Department of Agriculture in determining eligibility of individuals for the special supplemental nutrition program for women, infants, and children (WIC) as stated in current WIC policy.

EMERGENCY MEDICAL SERVICES, TRAUMA, AND PREPAREDNESS

Sec. 1350. The department shall not require a life support agency that does not charge for its services to submit data to the Michigan emergency medical services information system or any other quality improvement program.

CHILDREN’S SPECIAL HEALTH CARE SERVICES

Sec. 1360. The department may do 1 or more of the following:

(a) Provide special formula for eligible clients with specified metabolic and allergic disorders.

(b) Provide medical care and treatment to eligible patients with cystic fibrosis who are 21 years of age or older.

(c) Provide medical care and treatment to eligible patients with hereditary coagulation defects, commonly known as hemophilia, who are 21 years of age or older.

(d) Provide human growth hormone to eligible patients.

Sec. 1361. From the funds appropriated in part 1 for medical care and treatment, the department may spend those funds for the continued development and expansion of telemedicine capacity to allow families with children in the children’s special health care services program to access specialty providers more readily and in a more timely manner. The department may spend funds to support chronic complex care management of children enrolled in the children’s special health care services program to minimize hospitalizations and reduce costs to the program while improving outcomes and quality of life.

AGING AND ADULT SERVICES AGENCY

Sec. 1402. The department may encourage the Food Bank Council of Michigan to collaborate directly with each area agency on aging and any other organizations that provide senior nutrition services to secure the food access of vulnerable seniors.

Sec. 1403. (1) By February 1 of the current fiscal year, the aging and adult services agency shall require each region to report to the aging and adult services agency and to the legislature home-delivered meals waiting lists based upon standard criteria. Determining criteria shall include all of the following:

(a) The recipient’s degree of frailty.

(b) The recipient’s inability to prepare his or her own meals safely.

(c) Whether the recipient has another care provider available.

(d) Any other qualifications normally necessary for the recipient to receive home-delivered meals.

(2) Data required in subsection (1) shall be recorded only for individuals who have applied for participation in the home-delivered meals program and who are initially determined as likely to be eligible for home-delivered meals.

Sec. 1417. The department shall provide to the senate and house appropriations subcommittees on the department budget, senate and house fiscal agencies, and state budget director a report by March 30 of the current fiscal year that contains all of the following:

(a) The total allocation of state resources made to each area agency on aging by individual program and administration.

(b) Detail expenditure by each area agency on aging by individual program and administration including both state-funded resources and locally funded resources.

Sec. 1421. From the funds appropriated in part 1 for community services, $1,100,000.00 shall be allocated to area agencies on aging for locally determined needs.

Sec. 1422. (1) From the funds appropriated in part 1 for aging and adult services administration, not less than $300,000.00 shall be allocated for the department to contract with the Prosecuting Attorneys Association of Michigan to provide the support and services necessary to increase the capability of the state’s prosecutors, adult protective service system, and criminal justice system to effectively identify, investigate, and prosecute elder abuse and financial exploitation.

(2) By March 1 of the current fiscal year, the Prosecuting Attorneys Association of Michigan shall provide a report on the efficacy of the contract to the state budget office, the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the house and senate policy offices.

Sec. 1425. The department shall coordinate with the department of licensing and regulatory affairs to ensure that, upon receipt of the order of suspension of a licensed adult foster care home, home for the aged, or nursing home, the department of licensing and regulatory affairs shall provide notice to the department, to the house and senate appropriations subcommittees on the department budget, and to the members of the house and senate that represent the legislative districts of the county in which the facility lies.

MEDICAL SERVICES ADMINISTRATION

Sec. 1501. The unexpended funds appropriated in part 1 for the electronic health records incentive program are designated as a work project appropriation, and any unencumbered or unallotted funds shall not lapse at the end of the fiscal year and shall be available for expenditures for projects under this section until the projects have been completed. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the work project is to implement the Medicaid electronic health record program that provides financial incentive payments to Medicaid health care providers to encourage the adoption and meaningful use of electronic health records to improve quality, increase efficiency, and promote safety.

(b) The projects will be accomplished by utilizing state employees or contracts with service providers, or both, and according to the approved federal advanced planning document.

(c) The total estimated cost of the work project is $37,501,000.00.

(d) The tentative completion date is September 30, 2024.

Sec. 1502. Except as otherwise provided under state law, if the department issues a new interpretation of existing Medicaid provider policy directly affecting nursing facility Medicaid cost reports, that change in policy must have a prospective effective date. A policy may have a retrospective effective date as part of a state plan amendment approval or waiver approval, or if required by state law, federal law, or judicial ruling.

Sec. 1504. (1) From the funds appropriated in part 1 for medical services administration, the department shall allocate $200,000.00 of general fund/general purpose revenue and any associated federal match toward the existing cloud-based analytics platform for Medicaid claims to focus on behavioral health services. The vendor shall identify areas of best practice, cost reduction, opportunities for quality improvement, and comparative cost analysis among providers, hospitals, and managed care organizations. Through the existing platform, the vendor shall facilitate specific analysis of the unique behavioral health cohort of patients that compares specific episodic metrics combined with substance use disorder data for the same time period. The data analysis shall include the ability to adjust for variations in patient risk and acuity differences when comparing performance across regions and hospitals. Specific analytics for this cohort shall provide data analysis on, but not be limited to, the following:

(a) Readmission rates.

(b) Mortality rates and complication rates.

(c) Total episode costs, including pre- and post-discharge costs, across high-volume episodes of care.

(2) Within 30 days after the end of the previous fiscal quarter, the department shall make available state medical assistance program claims data from the previous quarter, without charge, to the vendor in subsection (1).

Sec. 1505. By March 1 of the current fiscal year, the department shall submit a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office on the actual reimbursement savings and cost offsets that have resulted from the funds appropriated in part 1 for the office of inspector general and third party liability efforts in the previous fiscal year.

Sec. 1506. The department shall submit to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office quarterly reports on the implementation status of the public assistance call center that include all of the following information:

(a) Call volume during the prior quarter.

(b) Percentage of calls resolved through the public assistance call center.

(c) Percentage of calls transferred to a local department office or other office for resolution.

Sec. 1507. From the funds appropriated in part 1 for office of inspector general, the inspector general shall audit and recoup inappropriate or fraudulent payments from Medicaid managed care organizations to health care providers. Unless authorized by federal or state law, the department shall not fine, temporarily halt operations of, disenroll as a Medicaid provider, or terminate a managed care organization or health care provider from providing services due to the discovery of an inappropriate payment found during the course of an audit.

Sec. 1508. (1) From the funds appropriated in part 1 for medical services administration, $700,000.00 is appropriated for the operation and maintenance of the Michigan dental registry in support of the enhanced dental benefit for the Healthy Kids Dental program. Additionally, the department shall explore the expansion of the scope of the Michigan dental registry to enhance the Medicaid adult dental benefit for pregnant women.

(2) The department shall monitor childhood caries preventative services delivered to pediatric Medicaid recipients in both medical and dental settings. By March 1 of the current fiscal year, the department shall submit a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the results of the program. The report shall include, but not be limited to, all of the following:

(a) Comparative data on completed referral rates from pediatric medical providers to dental providers.

(b) The reduction of caries in the Medicaid child population.

(c) Any associated long-term or short-term cost savings to the Medicaid program.

Sec. 1509. By September 30 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the implementation of employment-related activity requirements for medical assistance. The report shall include, but is not limited to, the number of recipients who are noncompliant with the required self-sufficiency goals, an explanation of the actions undertaken, and the number of recipients subject to employment-related activity requirements.

Sec. 1511. On a monthly basis, the department shall work with the department of labor and economic opportunity to report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the utilization of workforce development programs by Healthy Michigan plan recipients through Michigan Works!. The report shall include, but not be limited to, all of the following:

(a) The number of recipients currently receiving employment supports and services through workforce development programs.

(b) The total year-to-date number of recipients who have received employment supports and services through workforce development programs.

(c) The number of recipients who secured employment in this state after receiving employment supports and services through workforce development programs.

(d) A summary of employment supports and services provided to recipients through workforce development programs.

Sec. 1513. (1) The department shall create and participate in a workgroup to determine an equitable and adequate reimbursement methodology for Medicaid inpatient psychiatric hospital care. The workgroup shall include representatives from the department, CMHSPs, PIHPs, the Michigan Association of Health Plans, the Michigan Health and Hospital Association, inpatient psychiatric facilities, Blue Cross Blue Shield of Michigan, the Community Mental Health Association of Michigan, and other individuals or organizations as determined appropriate by the department.

(2) By September 30 of the current fiscal year, the workgroup shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on all of the following:

(a) Recommended statewide per diem rate covering professional and facility costs.

(b) A list of factors, with assigned weights, that impact the provision of care in the inpatient psychiatric hospital care and recommendations for addressing those factors. Factors must include, but are not limited to, the following:

(i) Patient severity level, based on APR-DRGs.

(ii) Patient acuity level.

(iii) Involuntary stay.

(iv) Patient violence level.

(v) Presence of a developmental disability.

(vi) Need for 1-1 care.

(vii) State bed transfer for patients awaiting transfer to a state bed.

(c) The recommended state funding level for inpatient psychiatric hospital care to ensure inpatient psychiatric hospital reimbursement is equitable across hospitals and adequately covers hospital costs.

(d) Recommendations for separate additional reimbursement for the following:

(i) High cost capital improvements including nonfunded government mandates.

(ii) Costs to bring involuntary patients to court or telecourt.

(iii) Costs to cover the required 2 weeks of medications at discharge.

(iv) Transitions of care interventions by a hospital social worker when there are additional needs above standard discharge planning.

(v) Telehealth services, including pre-admission screening on inpatient units, assessments by a nonphysician provider, and ongoing psychiatric care.

(vi) Provide funding support for emergency department stays while patients await appropriate transfer or admission.

(vii) Provide reimbursement for mental health evaluation consultations conducted by specialists in the emergency department.

(3) The department shall assist in providing data to inform the workgroup discussion, assist in modeling appropriate reimbursement methods, and assist in developing the final report.

Sec. 1515. A qualified job placement agency may request contact information from the department for Healthy Michigan plan recipients subject to the workforce engagement requirements program in section 107b of the social welfare act, 1939 PA 280, MCL 400.107b, for the geographic region the agency services, who have not verified their employment in the previous quarter and are at risk of losing Medicaid benefits as a result of failure by the recipient to verify employment. This contact information shall not include personal health information or extensive personal identifying information. For the purposes of this section, a “qualified job placement agency” means a regional Michigan Works! agency or another nonprofit, governmental, or quasi-governmental body that provides job placement assistance as designated by the department.

MEDICAL SERVICES

Sec. 1601. The cost of remedial services incurred by residents of licensed adult foster care homes and licensed homes for the aged shall be used in determining financial eligibility for the medically needy. Remedial services include basic self-care and rehabilitation training for a resident.

Sec. 1605. The protected income level for Medicaid coverage determined pursuant to section 106(1)(b)(iii) of the social welfare act, 1939 PA 280, MCL 400.106, shall be 100% of the related public assistance standard.

Sec. 1606. For the purpose of guardian and conservator charges, the department may deduct up to $83.00 per month as an allowable expense against a recipient’s income when determining medical services eligibility and patient pay amounts.

Sec. 1607. (1) An applicant for Medicaid, whose qualifying condition is pregnancy, shall immediately be presumed to be eligible for Medicaid coverage unless the preponderance of evidence in her application indicates otherwise. The applicant who is qualified as described in this subsection shall be allowed to select or remain with the Medicaid participating obstetrician of her choice.

(2) All qualifying applicants shall be entitled to receive all medically necessary obstetrical and prenatal care without preauthorization from a health plan. All claims submitted for payment for obstetrical and prenatal care shall be paid at the Medicaid fee-for-service rate in the event a contract does not exist between the Medicaid participating obstetrical or prenatal care provider and the managed care plan. The applicant shall receive a listing of Medicaid physicians and managed care plans in the immediate vicinity of the applicant’s residence.

(3) In the event that an applicant, presumed to be eligible pursuant to subsection (1), is subsequently found to be ineligible, a Medicaid physician or managed care plan that has been providing pregnancy services to an applicant under this section is entitled to reimbursement for those services until such time as they are notified by the department that the applicant was found to be ineligible for Medicaid.

(4) If the preponderance of evidence in an application indicates that the applicant is not eligible for Medicaid, the department shall refer that applicant to the nearest public health clinic or similar entity as a potential source for receiving pregnancy-related services.

(5) The department shall develop an enrollment process for pregnant women covered under this section that facilitates the selection of a managed care plan at the time of application.

(6) The department shall mandate enrollment of women, whose qualifying condition is pregnancy, into Medicaid managed care plans.

(7) The department shall encourage physicians to provide women, whose qualifying condition for Medicaid is pregnancy, with a referral to a Medicaid participating dentist at the first pregnancy-related appointment.

Sec. 1611. (1) For care provided to medical services recipients with other third-party sources of payment, medical services reimbursement shall not exceed, in combination with such other resources, including Medicare, those amounts established for medical services-only patients. The medical services payment rate shall be accepted as payment in full. Other than an approved medical services co-payment, no portion of a provider’s charge shall be billed to the recipient or any person acting on behalf of the recipient. Nothing in this section shall be considered to affect the level of payment from a third-party source other than the medical services program. The department shall require a nonenrolled provider to accept medical services payments as payment in full.

(2) Notwithstanding subsection (1), medical services reimbursement for hospital services provided to dual Medicare/medical services recipients with Medicare part B coverage only shall equal, when combined with payments for Medicare and other third-party resources, if any, those amounts established for medical services-only patients, including capital payments.

Sec. 1620. (1) For fee-for-service Medicaid recipients, the professional dispensing fee for drugs indicated as specialty medications on the Michigan pharmaceutical products list is $20.02 or the pharmacy’s usual or customary cash charge, whichever is less.

(2) For fee-for-service Medicaid recipients, for drugs not indicated as specialty drugs on the Michigan pharmaceutical products list, the professional dispensing fee for medications is as follows:

(a) For medications indicated as preferred on the department’s preferred drug list, $10.80 or the pharmacy’s usual or customary cash charge, whichever is less.

(b) For medications not on the department’s preferred drug list, $10.64 or the pharmacy’s usual or customary cash charge, whichever is less.

(c) For medications indicated as nonpreferred on the department’s preferred drug list, $9.00 or the pharmacy’s usual or customary cash charge, whichever is less.

(3) The department shall require a prescription co-payment for Medicaid recipients not enrolled in the Healthy Michigan plan or with an income less than 100% of the federal poverty level of $1.00 for a generic drug indicated as preferred on the department’s preferred drug list and $3.00 for a brand-name drug indicated as nonpreferred on the department’s preferred drug list, except as prohibited by federal or state law or regulation.

(4) The department shall require a prescription co-payment for Medicaid recipients enrolled in the Healthy Michigan plan with an income of at least 100% of the federal poverty level of $4.00 for a generic drug indicated as preferred on the department’s preferred drug list and $8.00 for a brand-name drug indicated as nonpreferred on the department’s preferred drug list, except as prohibited by federal or state law or regulation.

Sec. 1625. (1) Beginning February 1, 2020, the department shall not enter into any contract with a Medicaid managed care organization that relies on a pharmacy benefit manager that does not do all of the following:

(a) For pharmacies with not more than 7 retail outlets, utilizes a pharmacy reimbursement methodology of the national average drug acquisition cost plus a professional dispensing fee comparable to the applicable professional dispensing fee provided through section 1620. The pharmacy benefit manager or the involved pharmacy services administrative organization shall not receive any portion of the additional professional dispensing fee. The department shall identify the pharmacies this subdivision applies to and provide the list of applicable pharmacies to the Medicaid managed care organizations.

(b) For pharmacies with not more than 7 retail outlets, utilizes a pharmacy reimbursement methodology, when a national average drug acquisition cost price is not available, for brand drugs of the lesser of the wholesale acquisition cost, the average wholesale price less 16.7% plus a professional dispensing fee comparable to the applicable professional dispensing fee provided through section 1620, or the usual and customary charge by the pharmacy. The department shall identify the pharmacies this subdivision applies to and provide the list of applicable pharmacies to the Medicaid managed care organizations.

(c) For pharmacies with not more than 7 retail outlets, utilizes a pharmacy reimbursement methodology, when a national average drug acquisition cost price is not available, for generic drugs of the lesser of wholesale acquisition cost plus a professional dispensing fee comparable to the applicable professional dispensing fee provided through section 1620, average wholesale price less 30.0% plus a professional dispensing fee comparable to the applicable professional dispensing fee provided through section 1620, or the usual and customary charge by the pharmacy. The department shall identify the pharmacies this subdivision applies to and provide the list of applicable pharmacies to the Medicaid managed care organizations.

(d) Reimburses for a legally valid claim at a rate not less than the rate in effect at the time the original claim adjudication as submitted at the point of sale.

(e) Agrees to move to a transparent “pass-through” pricing model, in which the pharmacy benefit manager discloses the administrative fee as a percentage of the professional dispensing costs to the department.

(f) Agrees to not create new pharmacy administration fees and to not increase current fees more than the rate of inflation. This subdivision does not apply to any federal rule or action that creates a new fee.

(g) Agrees to not terminate an existing contract with a pharmacy with not more than 7 retail outlets for the sole reason of the additional professional dispensing fee authorized under this section.

(2) Nothing in this section shall prohibit a Medicaid managed care organization from implementing this section before February 1, 2020.

Sec. 1629. The department shall utilize maximum allowable cost pricing for generic drugs that is based on wholesaler pricing to providers that is available from at least 2 wholesalers who deliver in this state.

Sec. 1631. (1) The department shall require co-payments on dental, podiatric, and vision services provided to Medicaid recipients, except as prohibited by federal or state law or regulation.

(2) Except as otherwise prohibited by federal or state law or regulation, the department shall require Medicaid recipients not enrolled in the Healthy Michigan plan or with an income less than 100% of the federal poverty level to pay not less than the following co-payments:

(a) Two dollars for a physician office visit.

(b) Three dollars for a hospital emergency room visit.

(c) Fifty dollars for the first day of an inpatient hospital stay.

(d) Two dollars for an outpatient hospital visit.

(3) Except as otherwise prohibited by federal or state law or regulation, the department shall require Medicaid recipients enrolled in the Healthy Michigan plan with an income of at least 100% of the federal poverty level to pay the following co-payments:

(a) Four dollars for a physician office visit.

(b) Eight dollars for a hospital emergency room visit.

(c) One hundred dollars for the first day of an inpatient hospital stay.

(d) Four dollars for an outpatient hospital visit or any other medical provider visit to the extent allowed by federal or state law or regulation.

Sec. 1641. An institutional provider that is required to submit a cost report under the medical services program shall submit cost reports completed in full within 5 months after the end of its fiscal year.

Sec. 1645. (1) For the current fiscal year, the department shall establish the class I nursing facility current asset value bed limit based on the rolling 15-year history of new construction.

(2) It is the intent of the legislature that, for the fiscal year beginning October 1, 2020, the department shall modify the class I nursing facility current asset value bed limit based on the rolling 15-year history of new construction. The increase in the current asset value bed limit shall not exceed 4% of the limit for the fiscal year beginning October 1, 2019.

Sec. 1646. (1) From the funds appropriated in part 1 for long-term care services, the department shall continue to administer a nursing facility quality measure initiative program. The initiative shall be financed through the quality assurance assessment for nursing homes and hospital long-term care units, and the funds shall be distributed according to the following criteria:

(a) The department shall award more dollars to nursing facilities that have a higher CMS 5-star quality measure domain rating, then adjusted to account for both positive and negative aspects of a patient satisfaction survey.

(b) A nursing facility with a CMS 5-star quality measure domain star rating of 1 or 2 must file an action plan with the department describing how it intends to use funds appropriated under this section to increase quality outcomes before funding shall be released.

(c) The total incentive dollars must reflect the following Medicaid utilization scale:

(i) For nursing facilities with a Medicaid participation rate of above 63%, the facility shall receive 100% of the incentive payment.

(ii) For nursing facilities with a Medicaid participation rate between 50% and 63%, the facility shall receive 75% of the incentive payment.

(iii) For nursing facilities with a Medicaid participation rate of less than 50%, the facility shall receive a payment proportionate to their Medicaid participation rate.

(iv) For nursing facilities not enrolled in Medicaid, the facility shall not receive an incentive payment.

(d) Facilities designated as special focus facilities are not eligible for any payment under this section.

(e) Number of licensed beds.

(2) The department and nursing facility representatives shall evaluate the quality measure incentive program’s effectiveness on quality, measured by the change in the CMS 5-star quality measure domain rating since the implementation of quality measure incentive program. By March 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices on the findings of the evaluation.

Sec. 1657. (1) Reimbursement for medical services to screen and stabilize a Medicaid recipient, including stabilization of a psychiatric crisis, in a hospital emergency room shall not be made contingent on obtaining prior authorization from the recipient’s HMO. If the recipient is discharged from the emergency room, the hospital shall notify the recipient’s HMO within 24 hours of the diagnosis and treatment received.

(2) If the treating hospital determines that the recipient will require further medical service or hospitalization beyond the point of stabilization, that hospital shall receive authorization from the recipient’s HMO prior to admitting the recipient.

(3) Subsections (1) and (2) do not require an alteration to an existing agreement between an HMO and its contracting hospitals and do not require an HMO to reimburse for services that are not considered to be medically necessary.

Sec. 1659. The following sections of this part are the only ones that shall apply to the following Medicaid managed care programs, including the comprehensive plan, MIChoice long-term care plan, and the mental health, substance use disorder, and developmentally disabled services program: 904, 911, 918, 920, 924, 928, 942, 964, 974, 994, 999, 1008, 1009, 1607, 1625, 1657, 1662, 1670, 1673, 1677, 1696, 1697, 1700, 1702, 1704, 1757, 1763, 1764, 1775, 1790, 1791, 1801, 1806, 1807, 1809, 1820, 1837, 1846, 1850, 1859, 1862, 1871, 1874, 1875, 1888, and 1894.

Sec. 1662. (1) The department shall ensure that an external quality review of each contracting HMO is performed that results in an analysis and evaluation of aggregated information on quality, timeliness, and access to health care services that the HMO or its contractors furnish to Medicaid beneficiaries.

(2) The department shall require Medicaid HMOs to provide EPSDT utilization data through the encounter data system, and HEDIS well child health measures in accordance with the National Committee for Quality Assurance prescribed methodology.

(3) The department shall provide a copy of the analysis of the Medicaid HMO annual audited HEDIS reports and the annual external quality review report to the senate and house of representatives appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget director, within 30 days of the department’s receipt of the final reports from the contractors.

Sec. 1670. (1) The appropriation in part 1 for the MIChild program is to be used to provide comprehensive health care to all children under age 19 who reside in families with income at or below 212% of the federal poverty level, who are uninsured and have not had coverage by other comprehensive health insurance within 6 months of making application for MIChild benefits, and who are residents of this state. The department shall develop detailed eligibility criteria through the medical services administration public concurrence process, consistent with the provisions of this part and part 1.

(2) The department may provide up to 1 year of continuous eligibility to children eligible for the MIChild program unless the family fails to pay the monthly premium, a child reaches age 19, or the status of the children’s family changes and its members no longer meet the eligibility criteria as specified in the state plan.

(3) The department may make payments on behalf of children enrolled in the MIChild program as described in the MIChild state plan approved by the United States Department of Health and Human Services, or from other medical services.

Sec. 1673. The department may establish premiums for MIChild eligible individuals in families with income at or below 212% of the federal poverty level. The monthly premiums shall be $10.00 per month.

Sec. 1677. The MIChild program shall provide, at a minimum, all benefits available under the Michigan benchmark plan that are delivered through contracted providers and consistent with federal law, including, but not limited to, the following medically necessary services:

(a) Inpatient mental health services, other than substance use disorder treatment services, including services furnished in a state-operated mental hospital and residential or other 24-hour therapeutically planned structured services.

(b) Outpatient mental health services, other than substance use disorder services, including services furnished in a state-operated mental hospital and community-based services.

(c) Durable medical equipment and prosthetic and orthotic devices.

(d) Dental services as outlined in the approved MIChild state plan.

(e) Substance use disorder treatment services that may include inpatient, outpatient, and residential substance use disorder treatment services.

(f) Care management services for mental health diagnoses.

(g) Physical therapy, occupational therapy, and services for individuals with speech, hearing, and language disorders.

(h) Emergency ambulance services.

Sec. 1682. (1) In addition to the appropriations in part 1, the department is authorized to receive and spend penalty money received as the result of noncompliance with medical services certification regulations. Penalty money, characterized as private funds, received by the department shall increase authorizations and allotments in the long-term care accounts.

(2) Any unexpended penalty money, at the end of the year, shall carry forward to the following year.

Sec. 1692. (1) The department is authorized to pursue reimbursement for eligible services provided in Michigan schools from the federal Medicaid program. The department and the state budget director are authorized to negotiate and enter into agreements, together with the department of education, with local and intermediate school districts regarding the sharing of federal Medicaid services funds received for these services. The department is authorized to receive and disburse funds to participating school districts pursuant to such agreements and state and federal law.

(2) From the funds appropriated in part 1 for medical services school-based services payments, the department is authorized to do all of the following:

(a) Finance activities within the medical services administration related to this project.

(b) Reimburse participating school districts pursuant to the fund-sharing ratios negotiated in the state-local agreements authorized in subsection (1).

(c) Offset general fund costs associated with the medical services program.

Sec. 1693. The special Medicaid reimbursement appropriation in part 1 may be increased if the department submits a medical services state plan amendment pertaining to this line item at a level higher than the appropriation. The department is authorized to appropriately adjust financing sources in accordance with the increased appropriation.

Sec. 1694. From the funds appropriated in part 1 for special Medicaid reimbursement, $966,700.00 of general fund/general purpose revenue and any associated federal match shall be distributed for poison control services to an academic health care system that has a high indigent care volume.

Sec. 1696. It is the intent of the legislature that if an applicant for Medicaid coverage through the Healthy Michigan plan received medical coverage in the previous fiscal year through traditional Medicaid, and is still eligible for coverage through traditional Medicaid, the applicant is not eligible to receive coverage through the Healthy Michigan plan.

Sec. 1697. The department shall require that Medicaid health plans administering Healthy Michigan plan benefits maintain a network of dental providers in sufficient numbers, mix, and geographic locations throughout their respective service areas in order to provide adequate dental care for Healthy Michigan plan enrollees.

Sec. 1699. (1) The department may make separate payments in the amount of $45,000,000.00 directly to qualifying hospitals serving a disproportionate share of indigent patients and to hospitals providing GME training programs. If direct payment for GME and DSH is made to qualifying hospitals for services to Medicaid recipients, hospitals shall not include GME costs or DSH payments in their contracts with HMOs.

(2) The department shall allocate $45,000,000.00 in DSH funding using the distribution methodology used in fiscal year 2003-2004.

Sec. 1700. (1) By December 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office on the distribution of funding provided, and the net benefit if the special hospital payment is not financed with general fund/general purpose revenue, to each eligible hospital during the previous fiscal year from the following special hospital payments:

(a) DSH, separated out by unique DSH pool.

(b) GME.

(c) Special rural hospital payments provided under section 1802(2) of this part.

(d) Lump-sum payments to rural hospitals for obstetrical care provided under section 1802(1) of this part.

(2) By August 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office on the projected distribution of funding, and the projected net benefit if the special hospital payment is not financed with general fund/general purpose revenue, to each eligible hospital from the following special hospital payments:

(a) DSH, separated out by unique DSH pool.

(b) GME.

(c) Special rural hospital payments provided under section 1802(2) of this part.

(d) Lump-sum payments to rural hospitals for obstetrical care provided under section 1802(1) of this part.

Sec. 1702. From the funds appropriated in part 1, the department shall provide a 15% rate increase beginning January 1 of the current fiscal year for private duty nursing services for Medicaid beneficiaries under the age of 21. These additional funds must be used to attract and retain highly qualified registered nurses and licensed practical nurses to provide private duty nursing services so that medically frail children can be cared for in the most homelike setting possible.

Sec. 1704. (1) From the funds appropriated in part 1 for health plan services, the department shall maintain the Medicaid adult dental benefit for pregnant women enrolled in a Medicaid program.

(2) The department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office on the following:

(a) The number of pregnant women enrolled in Medicaid who visited a dentist over the prior year.

(b) The number of dentists statewide who participate in providing dental services to pregnant women enrolled in Medicaid.

Sec. 1730. The department shall continue to maintain enhanced assessment tools established in collaboration with the department of education that promote literacy development of pregnant women and new mothers in the maternal infant health program. When possible, the department shall include new fathers of the infants in the literacy promotion efforts that are included in the assessment tools and in the subsequent services provided. The assessment tools shall expand the assessment of maternal and parental literacy and provide support and referrals to resources to enable program participants to achieve an increase in literacy that may contribute to improvements in family health, economic, and life outcomes.

Sec. 1757. The department shall obtain proof from all Medicaid recipients that they are legal United States citizens or otherwise legally residing in this country and that they are residents of this state before approving Medicaid eligibility.

Sec. 1763. Before the initial expiration of contract no. 071b7700073 on February 28 of the current fiscal year, the department shall issue an RFP for a 3-year contract for actuarial services, including, but not limited to, capitation rate setting for Medicaid and the Healthy Michigan plan. The department shall notify the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices on what vendors submitted bids for the contract, which vendor received the contract, the evaluation process, and the criteria used by the department in awarding the contract for actuarial services.

Sec. 1764. The department shall annually certify whether rates paid to Medicaid health plans and specialty PIHPs are actuarially sound in accordance with federal requirements and shall provide a copy of the rate certification and approval of rates paid to Medicaid health plans and specialty PIHPs within 5 business days after certification or approval to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office. Following the rate certification, the department shall ensure that no new or revised state Medicaid policy bulletin that is promulgated materially impacts the capitation rates that have been certified in a negative manner.

Sec. 1775. (1) By March 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office on progress in implementing the waiver to implement managed care for individuals who are eligible for both Medicare and Medicaid, known as MI Health Link, including any problems and potential solutions as identified by the ombudsman described in subsection (2).

(2) The department shall ensure the existence of an ombudsman program that is not associated with any project service manager or provider to assist MI Health Link beneficiaries with navigating complaint and dispute resolution mechanisms and to identify problems in the demonstrations and in the complaint and dispute resolution mechanisms.

Sec. 1782. Subject to federal approval, from the funds appropriated in part 1 for health plan services, the department shall allocate $740,000.00 general fund/general purpose plus any available work project funds and federal match through an administered contract with oversight from Medical Services Administration and Population Health. The funds shall be used to support a statewide media campaign for improving this state’s immunization rates.

Sec. 1790. The department shall increase the practitioner rates paid for current procedural terminology (CPT) codes in psychiatric diagnostic procedures through Medicaid fee-for-service and through the Medicaid health plans by 15% for psychiatric diagnostic procedure provided for Medicaid beneficiaries under the age of 21. It is the intent of the legislature that the CPT specific rates paid through the Medicaid health plans are not increased by a uniform 15% but reflect the greater of either the actual rates paid during the previous fiscal year or 100% of the Medicare rate received for those services on the date the services are provided.

Sec. 1791. From the funds appropriated in part 1 for health plan services and physician services, the department shall provide Medicaid reimbursement rates for neonatal services at 95% of the Medicare rate received for those services in effect on the date the services are provided to eligible Medicaid recipients. The current procedural terminology (CPT) codes that are eligible for this reimbursement rate increase are 99468, 99469, 99471, 99472, 99475, 99476, 99477, 99478, 99479, and 99480.

Sec. 1792. By April 30 of the current fiscal year, the department shall evaluate pharmacy encounter data through the first 2 quarters of the fiscal year to determine, in consultation with the Medicaid health plans, if rates must be recertified. By May 30 of the current fiscal year, the department shall report the evaluation results to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, the state budget office, and the Medicaid health plans.

Sec. 1793. Beginning October 1 of the current fiscal year, the department may recover a refund due to an overpayment to a Medicaid provider only if the department notifies the provider of the overpayment not later than 180 days after receipt of the overpayment.

Sec. 1800. For the distribution of each of the pools within the $85,000,000.00 outpatient disproportionate share hospital payment, the department shall maintain a formula for the distribution of each pool based on the quality of care, cost, traditional disproportionate share hospital factors such as Medicaid utilization and uncompensated care, and any other factor that the department determines should be considered.

Sec. 1801. (1) From the funds appropriated in part 1 for physician services and health plan services, the department shall continue the increase to Medicaid rates for primary care services provided only by primary care providers. For the purpose of this section, a primary care provider is a physician, or a practitioner working in collaboration with a physician, who is either licensed under part 170 or part 175 of the public health code, 1978 PA 368, MCL 333.17001 to 333.17097 and 333.17501 to 333.17556, and working as a primary care provider in general practice or board-eligible or certified with a specialty designation of family medicine, general internal medicine, or pediatric medicine, or a provider who provides the department with documentation of equivalency. Providers performing a service and whose primary practice is as a non-primary-care subspecialty is not eligible for the increase. The department shall establish policies that most effectively limit the increase to primary care providers for primary care services only.

(2) By March 1 of the current fiscal year, the department shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a list of medical specialties that were paid enhanced primary care rates in the fiscal year ending September 30, 2018.

Sec. 1802. (1) From the funds appropriated in part 1 for hospital services and therapy, $7,995,200.00 in general fund/general purpose revenue shall be provided as lump-sum payments to noncritical access hospitals that qualified for rural hospital access payments in fiscal year 2013-2014 and that provide obstetrical care in the current fiscal year. Payment amounts shall be based on the volume of obstetrical care cases and newborn care cases for all such cases billed by each qualified hospital in the most recent year for which data is available. Payments shall be made by January 1 of the current fiscal year.

(2) From the funds appropriated in part 1 for hospital services and therapy and Healthy Michigan plan, $13,904,800.00 in general fund/general purpose revenue and any associated federal match shall be awarded as rural access payments to noncritical access hospitals that meet criteria established by the department for services to low-income rural residents. One of the reimbursement components of the distribution formula shall be assistance with labor and delivery services. The department shall ensure that the rural access payments described in this subsection shall be distributed in a manner that ensures both of the following:

(a) No hospital or hospital system shall receive more than 10.0% of the total rural access funding referenced in this subsection.

(b) To allow hospitals to understand their rural payment amounts under this subsection, the department shall provide hospitals with the methodology for distribution under this subsection and provide each hospital with its applicable data that are used to determine the payment amounts by August 1 of the current fiscal year. The department shall publish the distribution of payments for the current fiscal year and the immediately preceding fiscal year.

Sec. 1803. To the extent allowed under federal law or regulation, the department shall establish rules to allow for billing to and reimbursement by the Medicaid program directly for transportation charges related to portable x-ray services rendered to patients residing in a nursing facility or an assisted living facility, or who are otherwise homebound. The corresponding reimbursement policies shall be effective as of October 1 of the current fiscal year.

Sec. 1804. (1) The department shall enter into an interagency agreement, in cooperation with the department of military and veterans affairs, in order to work with the federal public assistance reporting information system to identify Medicaid recipients who are veterans and who may be eligible for federal veterans health care benefits or other benefits. The interagency agreement shall include the specific outcome and performance reporting requirements described in this section. The interagency agreement shall require the department of military and veterans affairs to provide all of the following items by January 1 of the current fiscal year to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the senate and house policy offices:

(a) The number of veterans identified by the department through eligibility determinations.

(b) The number of veterans referred to the department of military and veterans affairs.

(c) The number of referrals made by the department that were contacted by the department of military and veterans affairs.

(d) The number of referrals made by the department that were eligible for veterans health care benefits or other benefits.

(e) The specific actions and efforts undertaken by the department and the department of military and veterans affairs to identify female veterans who are applying for public assistance benefits, but who are eligible for veterans benefits.

(2) By October 1 of the current fiscal year, the department shall change the public assistance application form from asking whether the prospective applicant was a veteran to asking whether the applicant had ever served in the military.

Sec. 1805. Excluding psychiatric care hospitals, hospitals receiving medical services payments for graduate medical education shall submit fully completed quality data to a nonprofit organization with extensive experience in collecting and reporting hospital quality data on a public website. The reporting must utilize consensus-based nationally endorsed standards that meet National Quality Forum-endorsed safe practices. The organization collecting the data must be an organization that uses severity-adjusted risk models and measures that will help patients and payers identify hospital campuses likely to have superior outcomes. The public website shall provide information to allow consumers to compare safe practices by hospital campus, including, but not limited to, perinatal care, hospital-acquired infection, and serious reportable events. Excluding psychiatric care hospitals, hospitals receiving medical services payments for graduate medical education shall also make their fully completed quality data available on the hospital’s website. The department shall withhold 25% of a hospital’s graduate medical education payment if the hospital does not submit the data to a qualifying nonprofit organization described in this section by January 1 of the current fiscal year.

Sec. 1806. (1) The department shall contractually require the Medicaid health plans to report to the department by February 1 of the current fiscal year on the following:

(a) The progress of implementing the Medicaid health plan common formulary.

(b) The participation by the Medicaid health plans in the Medicaid health plan common formulary.

(c) The timeliness of prior authorization approvals or disapprovals.

(2) By March 1 of the current fiscal year, the department shall provide the Medicaid health plan report provided in subsection (1) and identify any areas of inconsistency across the Medicaid health plans’ implementation and utilization of the Medicaid health plan common formulary to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office.

(3) The department shall maintain policies and procedures to govern the operations of the Michigan Medicaid health plan common formulary so that the department is able to receive fair and full public participation.

Sec. 1807. From the funds appropriated in part 1, the department shall increase hospital outpatient Medicaid rates by 7% over those effective January 1, 2019. The department shall also provide an additional $6,400,000.00 in general fund/general purpose revenue and any associated federal match to further increase outpatient Medicaid rates for services performed at critical access hospitals.

Sec. 1810. The department shall enhance encounter data reporting processes and develop rules that would make each health plan’s encounter data as complete as possible, provide a fair measure of acuity for each health plan’s enrolled population for risk adjustment purposes, capitation rate setting, diagnosis-related group rate setting, and research and analysis of program efficiencies while minimizing health plan administrative expense. In advance of the annual rate setting development, Medicaid health plans shall be given at least 60 days to dispute and correct any discarded encounter data before rates are certified. The department shall notify each contracting Medicaid health plan of any encounter data that have not been accepted for the purposes of rate setting.

Sec. 1812. By June 1 of the current fiscal year, and using the most recent available cost reports, the department shall complete a report of all direct and indirect costs associated with residency training programs for each hospital that receives funds appropriated in part 1 for graduate medical education. The report shall be submitted to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office.

Sec. 1820. (1) In order to avoid duplication of efforts, the department shall utilize applicable national accreditation review criteria to determine compliance with corresponding state requirements for Medicaid health plans that have been reviewed and accredited by a national accrediting entity for health care services.

(2) The department shall continue to comply with state and federal law and shall not initiate an action that negatively impacts beneficiary safety.

(3) As used in this section, “national accrediting entity” means the National Committee for Quality Assurance, the URAC, formerly known as the Utilization Review Accreditation Commission, or other appropriate entity, as approved by the department.

Sec. 1837. (1) The department shall continue, and expand where appropriate, utilization of telemedicine and telepsychiatry as strategies to increase access to services for Medicaid recipients.

(2) For the purpose of reimbursement for Medicaid services furnished via a telecommunications system, the department shall expand the definition of originating site used in the state Medicaid provider manual to include the patient’s home, or any other established site considered appropriate by the provider.

(3) For the purpose of reimbursement for Medicaid services furnished via a telecommunications system, the department shall expand the definition of distant site used in the state Medicaid provider manual to include the provider’s office, or any established site considered appropriate by the provider.

Sec. 1846. From the funds appropriated in part 1 for graduate medical education, the department shall distribute the funds with an emphasis on the following health care workforce goals:

(a) The encouragement of the training of physicians in specialties, including primary care, that are necessary to meet the future needs of residents of this state.

(b) The training of physicians in settings that include ambulatory sites and rural locations.

Sec. 1850. The department may allow Medicaid health plans to assist with maintaining eligibility through outreach activities to ensure continuation of Medicaid eligibility and enrollment in managed care. This may include mailings, telephone contact, or face-to-face contact with beneficiaries enrolled in the individual Medicaid health plan. Health plans may offer assistance in completing paperwork for beneficiaries enrolled in their plan.

Sec. 1851. From the funds appropriated in part 1 for adult home help services, the department shall allocate $150,000.00 state general fund/general purpose revenue plus any associated federal match to develop and deploy a mobile electronic visit verification solution to create administrative efficiencies, reduce error, and minimize fraud. The development of the solution shall be predicated on input from the results of the 2017 stakeholder survey.

Sec. 1855. From the funds appropriated in part 1 for program of all-inclusive care for the elderly (PACE), to the extent that funding is available in the PACE line item and unused program slots are available, the department may do the following:

(a) Increase the number of slots for an already-established local PACE program if the local PACE program has provided appropriate documentation to the department indicating its ability to expand capacity to provide services to additional PACE clients.

(b) Suspend the 10 member per month individual PACE program enrollment increase cap in order to allow unused and unobligated slots to be allocated to address unmet demand for PACE services.

Sec. 1856. (1) From the funds appropriated in part 1 for hospice services, $3,318,000.00 shall be expended to provide room and board for Medicaid recipients who meet hospice eligibility requirements and receive services at Medicaid enrolled hospice residences in this state. The department shall distribute funds through grants based on the total beds located in all eligible residences that have been providing these services as of October 1, 2017. Any eligible grant applicant may inform the department of their request to reduce the grant amount allocated for their residence and the funds shall be distributed proportionally to increase the total grant amount of the remaining grant-eligible residences. Grant amounts shall be paid out monthly with 1/12 of the total grant amount distributed each month to the grantees.

(2) By September 15 of the current fiscal year, each Medicaid-enrolled hospice with a residence that receives funds under this section shall provide a report to the department on the utilization of the grant funding provided in subsection (1). The report shall be provided in a format prescribed by the department and shall include the following:

(a) The number of patients served.

(b) The number of days served.

(c) The daily room and board rates for the patients served.

(d) If there is not sufficient funding to cover the total room and board need, the number of patients who did not receive care due to insufficient grant funding.

(3) If there is funding remaining at the end of the current fiscal year, the Medicaid-enrolled hospice with a residence shall return funding to the state.

Sec. 1857. By July 1 of the current fiscal year, the department shall explore the implementation of a managed care long-term support service.

Sec. 1858. By April 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget and the senate and house fiscal agencies on all of the following elements related to the current Medicaid pharmacy carve-out of pharmaceutical products as provided for in section 109h of the social welfare act, 1939 PA 280, MCL 400.109h:

(a) The number of prescriptions paid by the department during the previous fiscal year.

(b) The total amount of expenditures for prescriptions paid by the department during the previous fiscal year.

(c) The number of and total expenditures for prescriptions paid for by the department for generic equivalents during the previous fiscal year.

Sec. 1859. The department shall partner with the Michigan Association of Health Plans (MAHP) and Medicaid health plans to develop and implement strategies for the use of information technology services for Medicaid research activities. The department shall make available state medical assistance program data, including Medicaid behavioral data, to MAHP and Medicaid health plans or any vendor considered qualified by the department for the purpose of research activities consistent with this state’s goals of improving health; increasing the quality, reliability, availability, and continuity of care; and reducing the cost of care for the eligible population of Medicaid recipients.

Sec. 1860. By March 1 of the current fiscal year, the department shall provide a report to the senate and house appropriations subcommittees, the senate and house fiscal agencies, and the state budget office on uncollected co-pays and premiums in the Healthy Michigan plan. The report shall include information on the number of participants who have not paid their co-pays and premiums, the total amount of uncollected co-pays and premiums, and steps taken by the department and health plans to ensure greater collection of co-pays and premiums.

Sec. 1862. From the funds appropriated in part 1, the department shall maintain payment rates for Medicaid obstetrical services at 95% of Medicare levels effective October 1, 2014.

Sec. 1867. (1) The department shall continue a workgroup that includes psychiatrists, other relevant prescribers, and pharmacists to identify best practices and to develop a protocol for psychotropic medications. Any changes proposed by the workgroup shall protect a Medicaid beneficiary’s current psychotropic pharmaceutical treatment regimen by not requiring a physician currently prescribing any treatment to alter or adjust that treatment.

(2) By March 1 of the current fiscal year, the department shall provide the workgroup’s recommendations to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office.

Sec. 1870. (1) From the funds appropriated in part 1 for hospital services and therapy, the department shall appropriate $3,750,000.00 in general fund/general purpose revenue plus any contributions from public entities, up to $5,000,000.00, and any associated federal match to the MiDocs consortium to create new primary care residency slots in underserved communities. The new primary care residency slots must be in 1 of the following specialties: family medicine, general internal medicine, general pediatrics, general OB-GYN, psychiatry, or general surgery.

(2) The department shall seek any necessary approvals from CMS to allow the department to implement the program described in this section.

(3) Assistance with repayment of medical education loans, loan interest payments, or scholarships provided by MiDocs shall be contingent upon a minimum 2-year commitment to practice in an underserved community in this state post-residency and an agreement to forego any sub-specialty training for at least 2 years post-residency.

(4) The MiDocs shall work with the department to integrate the Michigan inpatient psychiatric admissions discussion (MIPAD) recommendations and, when possible, prioritize training opportunities in state psychiatric hospitals and community mental health organizations.

(5) In collaboration with the Michigan Health Council, the MiDocs consortium shall reserve at least 3 residency slots per class to be used for the Michigan early primary care incentive program.

(6) The department shall create a MiDocs initiative advisory council to help support implementation of the program described in this section, and provide oversight. The advisory council shall be composed of the MiDocs consortium, the Michigan Area Health Education Centers, the Michigan Primary Care Association, the Michigan Center for Rural Health, the Michigan Academy of Family Physicians, and any other appointees designated by the department.

(7) By September 1 of the current fiscal year, MiDocs shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office, on the following:

(a) Audited financial statement of per-resident costs.

(b) Education and clinical quality data.

(c) Roster of trainees, including areas of specialty and locations of training.

(d) Medicaid revenue by training site.

(8) Outcomes and performance measures for this program include, but are not limited to, the following:

(a) Increasing this state’s ability to recruit, train, and retain primary care physicians and other select specialty physicians in underserved communities.

(b) Maximizing training opportunities with community health centers, rural critical access hospitals, solo or group private practice physician practices, schools, and other community-based clinics, in addition to required rotations at inpatient hospitals.

(c) Increasing the number of residency slots for family medicine, general internal medicine, general pediatrics, general OB-GYN, psychiatry, and general surgery.

(9) Unexpended and unencumbered funds up to a maximum $3,750,000.00 in general fund/general purpose revenue plus any contributions from public entities, up to $5,000,000.00, and any associated federal match remaining in accounts appropriated in part 1 for hospital services and therapy are designated as work project appropriations, and any unencumbered or unalloted funds shall not lapse at the end of the fiscal year and shall be available for expenditures for the MiDocs consortium to create new primary care residency slots in underserved communities under this section until the work project has been completed. All of the following are in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the work project is to fund the cost of the MiDocs consortium to create new primary care residency slots in underserved communities.

(b) The work project will be accomplished by contracting with the MiDocs consortium to oversee the creation of new primary care residency slots.

(c) The total estimated completion cost of the work project is $17,500,000.00.

(d) The tentative completion date is September 30, 2024.

Sec. 1871. The funds appropriated in part 1 for the Healthy Michigan plan healthy behaviors incentives program shall only provide reductions in cost-sharing responsibilities and shall not include other financial rewards such as gift cards.

Sec. 1872. From the funds appropriated in part 1 for personal care services, the department shall maintain the monthly Medicaid personal care supplement paid to adult foster care facilities and homes for the aged that provide personal care services to Medicaid recipients in place during the previous fiscal year.

Sec. 1873. From the funds appropriated in part 1 for long-term care services, the department may allocate up to $3,700,000.00 for the purpose of outreach and education to nursing home residents and the coordination of housing in order to move out of the facility. In addition, any funds appropriated shall be used for other quality improvement activities of the program. The department shall consider working with all relevant stakeholders to develop a plan for the ongoing sustainability of the nursing facility transition initiative.

Sec. 1874. The department shall ensure, in counties where program of all-inclusive care for the elderly or PACE services are available, that the program of all-inclusive care for the elderly (PACE) is included as an option in all options counseling and enrollment brokering for aging services and managed care programs, including, but not limited to, Area Agencies on Aging, centers for independent living, and the MiChoice home and community-based waiver. Such options counseling must include approved marketing and discussion materials.

Sec. 1875. (1) The department and its contractual agents may not subject Medicaid prescriptions to prior authorization procedures during the current fiscal year if that drug is carved out or is not subject to prior authorization procedures as of May 9, 2016, and is generally recognized in a standard medical reference or the American Psychiatric Association’s Diagnostic and Statistical Manual for the Treatment of a Psychiatric Disorder.

(2) The department and its contractual agents may not subject Medicaid prescriptions to prior authorization procedures during the current fiscal year if that drug is carved out or is not subject to prior authorization procedures as of May 9, 2016 and is a prescription drug that is generally recognized in a standard medical reference for the treatment of human immunodeficiency virus or acquired immunodeficiency syndrome, epilepsy or seizure disorder, or organ replacement therapy.

(3) As used in this section, “prior authorization” means a process implemented by the department or its contractual agents that conditions, delays, or denies delivery or particular pharmacy services to Medicaid beneficiaries upon application of predetermined criteria by the department or its contractual agents to those pharmacy services. The process of prior authorization often requires that a prescriber do 1 or both of the following:

(a) Obtain preapproval from the department or its contractual agents before prescribing a given drug.

(b) Verify to the department or its contractual agents that the use of a drug prescribed for an individual meets predetermined criteria from the department or its contractual agents for a prescription drug that is otherwise available under the Medicaid program in this state.

Sec. 1878. By March 1 of the current fiscal year, the department shall provide a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on hepatitis C tracking data. At a minimum, the report shall include information on the following for individuals treated with Harvoni or any other treatment used to cure hepatitis C during the current fiscal year or a previous fiscal year:

(a) The total number of people treated broken down by those treated through traditional Medicaid and those treated through the Healthy Michigan plan.

(b) The total cost of treatment.

(c) The total cost of treatment broken down by those treated through traditional Medicaid and those treated through the Healthy Michigan plan.

(d) The cure rate broken down by Metavir Score, genotype, Medicaid match rate, and drug used during treatment.

(e) The reinfection rate broken down by Metavir Score, genotype, Medicaid match rate, and drug used during treatment.

Sec. 1888. The department shall establish contract performance standards associated with the capitation withhold provisions for Medicaid health plans at least 3 months in advance of the implementation of those standards. The determination of whether performance standards have been met shall be based primarily on recognized concepts such as 1-year continuous enrollment and the healthcare effectiveness data and information set, HEDIS, audited data.

Sec. 1894. By March 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the Healthy Kids Dental program. The report shall include, but is not limited to, the following:

(a) The number of children enrolled in the Healthy Kids Dental program who visited the dentist during the previous fiscal year broken down by dental benefit manager.

(b) The number of dentists who accept payment from the Healthy Kids Dental program broken down by dental benefit manager.

(c) The annual change in dental utilization of children enrolled in the Healthy Kids Dental program broken down by dental benefit manager.

(d) Service expenditures for the Healthy Kids Dental program broken down by dental benefit manager.

(e) Administrative expenditures for the Healthy Kids Dental program broken down by dental benefit manager.

INFORMATION TECHNOLOGY

Sec. 1901. (1) The department shall provide a report on a quarterly basis to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on all of the following information:

(a) The process used to define requests for proposals for each expansion of information technology projects, including timelines, project milestones, and intended outcomes.

(b) If the department decides not to contract the services out to design and implement each element of the information technology expansion, the department shall submit its own project plan that includes, at a minimum, the requirements in subdivision (a).

(c) A recommended project management plan with milestones and time frames.

(d) The proposed benefits from implementing the information technology expansion, including customer service improvement, form reductions, potential time savings, caseload reduction, and return on investment.

(e) Details on the implementation of the integrated service delivery project, and the progress toward meeting the outcomes and performance measures listed in section 1904(2) of this part.

(f) A list of projects approved in the previous quarter and the purpose for approving each project including any federal, state, court, or legislative requirement for each project.

(2) Once an award for an expansion of information technology is made, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a projected cost of the expansion broken down by use and type of expense.

Sec. 1902. From the funds appropriated in part 1 for the Michigan Medicaid information system (MMIS) line item, private revenue may be received from and allocated for other states interested in participating as part of the broader MMIS initiative. By March 1 of the current fiscal year, the department shall provide a report on the use of MMIS by other states for the previous fiscal year, including a list of states, type of use, and revenue and expenditures related to the agreements with the other states to use the MMIS. The report shall be provided to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office.

Sec. 1903. (1) The department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by November 1 of the current fiscal year the status of an implementation plan regarding the appropriation in part 1 to modernize the MiSACWIS. The report shall include, but not be limited to, an update on the status of the settlement and efforts to bring the system in compliance with the settlement and other federal guidelines set forth by the United States Department of Health and Human Services Administration for Children and Families.

(2) The department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office by November 1, January 1, March 1, May 1, July 1, and September 1 of the current fiscal year a status report on the planning, implementation, and operation, regardless of the current operational status, regarding the appropriation in part 1 to implement the MiSACWIS. The report shall provide details on the planning, implementation, and operation of the system, including, but not limited to, all of the following:

(a) Areas where implementation went as planned, and in each area including whether the implementation results in either enhanced user interface or portal access, conversion to new modules, or substantial operation improvement to the MiSACWIS system.

(b) The number of known issues.

(c) The average number of help tickets submitted per day.

(d) Any additional overtime or other staffing costs to address known issues and volume of help tickets.

(e) Any contract revisions to address known issues and volume of help tickets.

(f) Other strategies undertaken to improve implementation, and for each strategy area including whether the implementation results in either enhanced user interface or portal access, conversion to new modules, or substantial operation improvement to the MiSACWIS system.

(g) Progress developing cross-system trusted data exchange with MiSACWIS.

(h) Progress in moving away from a statewide automated child welfare information system (SACWIS) to a comprehensive child welfare information system (CCWIS).

(i) Progress developing and implementing a program to monitor data quality.

(j) Progress developing and implementing custom integrated systems for private agencies.

(k) A list of all change orders, planned or in progress.

(l) The status of all change orders, planned or in progress.

(m) The estimated costs for all planned change orders.

(n) The estimated and actual costs for all change orders in progress.

Sec. 1904. (1) From the funds appropriated in part 1 for the technology supporting integrated service delivery line item, the department shall maintain information technology tools and enhance existing systems to improve the eligibility and enrollment process for citizens accessing department administered programs. This information technology system will consolidate beneficiary information, support department caseworker efforts in building a success plan for beneficiaries, and better support department staff in supporting enrollees in assistance programs.

(2) Outcomes and performance measures for the initiative under subsection (1) include, but are not limited to, the following:

(a) Successful consolidation of data warehouses maintained by the department.

(b) The amount of time a department caseworker devotes to data entry when initiating an enrollee application.

(c) A reduction in wait times for persons enrolled in assistance programs to speak with department staff and get necessary changes made.

(d) A reduction in department caseworker workload.

Sec. 1905. (1) The department shall report on a monthly basis to the chairs of the senate and house standing committees on appropriations, the senate and house appropriations subcommittees on the department budget, the senate and house appropriations subcommittees on the general government budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on all of the following:

(a) Fiscal year-to-date information technology spending for the current fiscal year by service and project and by line-item appropriation.

(b) Planned information technology spending for the remainder of the current fiscal year by service and project and by line-item appropriation.

(c) Total fiscal year-to-date information technology spending and planned spending for the current fiscal year by service and project and by line-item appropriation.

(d) A list of all information technology projects estimated to cost more than $250,000.00 that exceed their allotted budget as well as all information technology projects that have exceeded their allotted budget by 25% or more.

(2) As used in subsection (1), “project” means all of, but not limited to, the following major projects:

(a) Community health automated Medicaid processing system (CHAMPS).

(b) Bridges and MiBridges eligibility determination.

(c) MiSACWIS.

(d) Integrated service delivery.

(3) By April 30 of the current fiscal year, the department, in coordination with the department of technology, management, and budget, shall provide to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office a 5-year strategic plan for information technology services and projects for the department. The strategic plan shall identify any scheduled changes in the federal and state shares of costs related to information technology services and projects over the 5-year period. As part of the strategic plan, the department shall include total information technology expenditures from the previous fiscal year by fund source, total information technology appropriations as a percentage of total department appropriations by fund source, and a return on investment, by project, for all information technology expenditures in the previous fiscal year. The strategic plan shall also include, for the previous 5 fiscal years, the department’s information technology spending compared to similar departments in 3 other states located in the Midwest.

Sec. 1906. (1) The workgroup, in collaboration with the Michigan Federation of Children and Families and the Association of Accredited Child and Family Agencies, shall issue a report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office no later than November 1, January 1, March 1, May 1, July 1, and September 1 of the current fiscal year that must consist of, but is not limited to, the following:

(a) Recommendations for the future funding and operations of MiSACWIS and the replacement state child welfare information system.

(b) Recommendations for any remedial actions that the workgroup considers necessary for the department to implement in order to improve the functions of MiSACWIS and the subsequent state child welfare information system, and measures established to determine the success of MiSACWIS and the replacement state child welfare information system.

(c) Any other information the workgroup would like to provide regarding MiSACWIS and the replacement state child welfare information system.

(2) As used in this section, “workgroup” means the workgroup established by the department to facilitate the transition from the use of MiSACWIS to a replacement state child welfare information system, according to the independent assessment of Michigan’s statewide automated child welfare information system and child welfare data reporting infrastructure submitted to the United States District Court for the Eastern District of Michigan on February 25, 2019.

Sec. 1907. By October 1 and March 1 of the current fiscal year, the department shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on all current, contracted information technology-related projects, total contractual costs, spending in previous fiscal years, planned spending for the current fiscal year, and fiscal year-to-date spending, by project.

Sec. 1908. It is the intent of the legislature that all funds appropriated in part 1 for information technology shall prioritize projects directly dedicated to protecting the public health and safety through disease surveillance, cancer support, vital records, chronic disease, newborn screenings, public health registries, and associated training or technical assistance.

Sec. 1909. (1) The funds appropriated in part 1 for information technology contingency shall not be encumbered or expended until they are transferred to another line item in part 1 by the house and senate standing committees on appropriations in accordance with section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(2) The funds appropriated in part 1 for one-time information technology contingency shall not be encumbered or expended until they are transferred to another line item in part 1 by the house and senate standing committees on appropriations in accordance with section 393(2) of the management and budget act, 1984 PA 431, MCL 18.1393.

(3) The department shall only encumber or expend funds for the operation, maintenance, and improvements of the Michigan child support enforcement system (MiCSES) from the funds appropriated in part 1 for child support automation.

(4) The department shall only encumber or expend funds for the operation, maintenance, and improvements of Bridges and MiBridges from the funds appropriated in part 1 for bridges information system.

(5) The department shall only encumber or expend funds for the operation, maintenance, and improvements of integrated service delivery from the funds appropriated in part 1 for technology supporting integrated service delivery.

(6) The department shall only encumber or expend funds for the operation, maintenance, and improvements of the community health automated Medicaid processing system (CHAMPS) from the funds appropriated in part 1 for Michigan Medicaid information system.

(7) The department shall only encumber or expend funds for the operation, maintenance, and improvements of MiSACWIS from the funds appropriated in part 1 for Michigan statewide automated child welfare information system.

(8) The department shall only encumber or expend funds for the operation, maintenance, and improvements to the state child welfare information system from the funds appropriated in part 1 for state child welfare information system.

(9) The department shall not encumber or expend funds for a system intended to replace MiSACWIS sooner than 30 days after submitting a spending plan for the development or procurement of the replacement system to the speaker of the house of representatives, the senate majority leader, the house and senate standing committees on appropriations, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office.

ONE-TIME APPROPRIATIONS

Sec. 1910. (1) From the funds appropriated in part 1 for the drinking water declaration of emergency, the department shall allocate funds to address needs in a city in which a declaration of emergency was issued because of drinking water contamination. These funds may support, but are not limited to, the following activities:

(a) Nutrition assistance, nutritional and community education, food bank resources, and food inspections.

(b) Epidemiological analysis and case management of individuals at risk of elevated blood lead levels.

(c) Support for child and adolescent health centers, children’s healthcare access program, and pathways to potential programming.

(d) Nursing services, breastfeeding education, evidence-based home visiting programs, intensive services, and outreach for children exposed to lead coordinated through local community mental health organizations.

(e) Department field operations costs.

(f) Lead poisoning surveillance, investigations, treatment, and abatement.

(g) Nutritional incentives provided to local residents through the Double Up Food Bucks Expansion Program.

(h) Genesee County health department food inspectors to perform water testing at local food service establishments.

(i) Transportation related to health care delivery.

(j) Senior initiatives.

(k) Lead abatement contractor workforce development.

(2) From the funds appropriated in part 1 for the drinking water declaration of emergency, the department shall allocate $300,000.00 for Revive Community Health Center for health support services as the center pursues certification as a federally qualified health center.

(3) From the funds appropriated in part 1 for the drinking water declaration of emergency, the department shall allocate $500,000.00 for Rides to Wellness through the Flint mass transportation authority.

Sec. 1911. From the funds appropriated in part 1 for child and adolescent health centers, the department shall allocate $1,000,000.00 for the expansion of school-based child and adolescent health centers for the delivery of behavioral and physical health services. The department shall consult with the School-Community Health Alliance of Michigan in determining sites for new health centers or expansion of existing health centers. In determining sites, priority shall be given by the department to counties having a population of 125,000 or fewer persons according to the most recent decennial census, and to areas of the state that are currently underserved by school-based child and adolescent health centers.

Sec. 1912. From the funds appropriated in part 1 for co-responder crisis services pilot, $60,000.00 is allocated for mobile crisis resolution services, to an existing mobile crisis resolution provider with an existing walk-in center, who is working in conjunction with a township police department within 6 miles of the walk-in center. The service provider shall be stationed in a county with a population of at least 1,500,000. The mobile crisis resolution service provider shall be engaged by the township police department when a call indicates a behavioral health concern that does not meet criteria for a criminal charge or petition for mental health evaluation. The mobile crisis provider shall provide crisis stabilization services, including assessment, care coordination, and referrals for ongoing treatment. The mobile crisis services provider shall collect and submit to the department data on the outcomes of the pilot project throughout the duration of the pilot project and shall provide a report on the pilot project’s outcomes to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, and the state budget office.

Sec. 1913. (1) From the funds appropriated in part 1 for cercarial dermatitis prevention program, the department shall allocate $250,000.00 for a program to address the presence of parasites in inland lakes causing cercarial dermatitis. The funds shall be distributed to a Michigan-based nonprofit organization for the purpose of pursuing comprehensive, science-based mitigation and research by appropriately qualified subject matter experts to prevent cercarial dermatitis outbreaks. This appropriation may be used to reimburse costs incurred before the effective date of this act.

(2) By January 1, the department must submit a report to the house and senate appropriations subcommittees on the department budget detailing data collected, program plan, and effectiveness measures of the cercarial dermatitis prevention program.

Sec. 1914. From the funds appropriated in part 1 for primary care and dental health services, $150,000.00 shall be allocated for primary care clinic and dental health clinic services for indigent individuals to be provided in clinic locations in the city of Detroit and Wayne County by a public nonprofit organization with a stated mission of providing medical, behavioral, and mental health services, as well as other related support services, to underserved populations in Detroit, Wayne County, surrounding counties, and throughout Michigan.

Sec. 1915. From the funds appropriated in part 1 for healthy communities grant, $300,000.00 shall be allocated for a 1-time grant to Leaders Advancing and Helping Communities for community healthy living, obesity prevention, and substance abuse prevention programs.

Sec. 1916. (1) From the funds appropriated in part 1 for human trafficking survivors’ assistance, the department shall allocate $500,000.00 of crime victim’s rights fund to support a long-term women’s shelter in southeastern Michigan for women aged 18 and older who are survivors of human trafficking that offers housing and comprehensive services to address the physical, psychological, and spiritual aspects of recovery through a voluntary 2-year program. Services provided by the shelter include counseling and therapy for both trauma and addiction, medical and dental evaluations and services, job training, GED or high school completion programs or college, skilled trade training, computer skills training, job placement counseling, legal assistance, health and wellness consulting, addiction recovery meetings, and opportunities for spiritual growth.

(2) From the funds appropriated in part 1 for human trafficking survivors’ assistance, the department shall allocate $500,000.00 of crime victim’s rights fund to support a long-term women’s shelter in a city with a population between 188,000 and 189,000 according to the most recent decennial census. The shelter shall offer housing and comprehensive services to women who are survivors of human trafficking.

Sec. 1917. From the funds appropriated in part 1 for lead exposure response and abatement, the department shall allocate $3,434,500.00 to address statewide and community needs to respond to situations that have caused lead contamination in water, soil, or housing, and elevated human blood lead levels and health consequences due to lead poisoning. Eligible communities may include a city in which a declaration of emergency was issued because of drinking water contamination. These funds may support, but are not limited to, the following activities:

(a) Nutrition assistance, nutritional and community education, food bank resources, and food inspections.

(b) Epidemiological analysis and case management of individuals at risk of elevated blood lead levels.

(c) Support for access to health care for children and adolescents.

(d) Nursing services, breastfeeding education, evidence-based home visiting programs, intensive services, and outreach for children exposed to lead coordinated through local community mental health organizations.

(e) Department field operations costs.

(f) Lead poisoning surveillance, investigations, treatment, and abatement.

(g) Water testing at local food service establishments by local health department food inspectors.

(h) Transportation related to health care delivery.

(i) Senior initiatives.

(j) Lead abatement contractor workforce development.

Sec. 1918. From the funds appropriated in part 1 for substance abuse community and school outreach, the department shall allocate $100,000.00 to a coalition located in a county with a population of at least 1,500,000 with an aim to lead and support communities to dispel the myths and stigmas about drug addiction through public education, sharing stories of recovery, partnering with local and state leaders, creating positive social changes, and providing recovery support services for those in need.

Sec. 1919. (1) From the funds appropriated in part 1 for unified clinics resiliency center for families and children, the department shall allocate $1,500,000.00 to a 4-year state university located in a county with a population between 250,000 and 251,000 according to the most recent decennial census to be used to develop and operate a resiliency center for families and children to address the multifaceted needs of those experiencing trauma, toxic stress, chronic disability, neurodevelopmental disorders, or addictions.

(2) Outcomes and performance measures for the resiliency center funded under this section shall include, but not be limited to, the following:

(a) The number of children and families who received services from the center.

(b) The types of screening offered by the center and the number of clients that received each screening type.

(c) The number of trauma assessments completed through the center’s programs and the average cost of a trauma assessment for each type of client, including children, adults, and families.

(d) The types of services offered by the center and the number of clients that received each service type.

(e) The number of referrals for services made to children and families.

(f) A breakdown of the expenditures made for the development of the resiliency center for families and children by major category.

(3) By March 1 of the current fiscal year, the resiliency center for families and children shall report to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, and the state budget office on the status of the development of the resiliency center funded under this section and on the information required in subsection (2).

(4) The unexpended portion of funds appropriated in part 1 for unified clinics resiliency center for families and children is designated as a work project appropriation. Any unencumbered or unallotted funds shall not lapse at the end of the fiscal year and shall be available for expenditure for the project under this section until the project has been completed. The following is in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the work project is to provide funding for the operation and maintenance of a unified clinics resiliency center for families and children as provided by this section.

(b) The project will be accomplished through funding to a 4-year state university for the operation and maintenance of the center.

(c) The total estimated cost of the work project is $1,500,000.00 of general fund/general purpose revenue.

(d) The estimated completion date is September 30, 2022.

(5) It is the intent of the legislature that this is the first year out of 3 years that funding is to be provided by the legislature for the unified clinics resiliency center for families and children described in this section, and that in each of the 2 following years, $750,000.00 be provided by the legislature.

Sec. 1920. (1) From the funds appropriated in part 1 for autism navigator, the department shall require any contractor receiving funds from this line item to comply with performance-related metrics to maintain eligibility for funding. The organizational metrics shall include, but not be limited to, all of the following:

(a) Each contractor shall have accreditations that attest to their competency and effectiveness in providing services.

(b) Each contractor shall demonstrate cost-effectiveness.

(c) Each contractor shall ensure their ability to leverage private dollars to strengthen and maximize service provision.

(d) Each contractor shall provide quarterly reports to the department regarding the number of clients served, units of service provision, and ability to meet their stated goals.

(2) The department shall require an annual report from any contractor receiving funding from the autism navigator line item. The annual report, due to the department 60 days following the end of the contract period, shall include specific information on services and programs provided, the client base to which the services and programs were provided, and the expenditures for those services. The department shall provide the annual reports to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, and the state budget office.

Sec. 1921. (1) From the funds appropriated in part 1 for employment first, the department shall allocate $500,000.00 to support the objectives stated in Executive Order No. 2015-15.

(2) The department shall use the funds to provide consultation and technical assistance to support best practices to increase competitive integrated employment for people with disabilities in areas such as statewide capacity building of professionals providing job preparation, placement, and retention supports and services; provider transformation among community rehabilitation organizations; rate restructuring of employment supports and services; blending and braiding of resources; seamless transition outcomes from education to employment; employer engagement; education and outreach to clients and their families, including information on benefits coordination and planning; and other systemic change activities leading to competitive integrated employment.

Sec. 1922. (1) From the funds appropriated in part 1 for wrap-around services, the department shall allocate $600,000.00 as a grant, to implement a pilot program that will provide wrap-around services designed to promote academic achievement through targeting both academic and nonacademic barriers to learning during out-of-school periods. The department shall grant at least 3 awards to program applicants as funding is available. The funds shall be available to schools, school districts, and public school academies with an equal number of projects in each county where a grant is awarded. The grants shall be awarded in the following way: a county with a population of greater than 1,800,000 according to the most recent decennial census, a county with a population of between 601,000 and 605,000 according to the most recent decennial census, and a county with a population of between 420,000 and 430,000 according to the most recent decennial census. To be eligible for the grants, the school, school district, or public school academy shall have at least 67% of the population with an income of less than 185% of the federal poverty level. Priority for selection shall be given to schools, school districts, and public school academies that have signed agreements, signed contracts, or signed memorandums with nonprofit, community-based organizations organized under the laws of this state that are exempt from federal income tax under section 501(c)(3) of the internal revenue code of 1986, 26 USC 501. The pilot program shall include the following program elements:

(a) Schools, school districts, and public school academies are encouraged to offer educational awareness programs such as wrap-around programs and integrated student supports that promote academic achievement through overcoming academic and nonacademic barriers to learning.

(b) Activities of an integrated student supports program funded under this subsection may include, but not be limited to, tutoring, dental and health screenings, social-emotional, health, meals, and exercise.

(c) Schools, school districts, and public school academies are encouraged to facilitate coordination to ensure the integrated student supports program supplements the services currently available to students and families.

(d) Schools, school districts, and public school academies that are selected for participation under this section shall provide a plan to transition the cost of the program to existing funds or private funds raised over 5 years, by providing increasing matching funds throughout the pilot program.

(e) Participating schools, school districts, and public school academies shall track academic and nonacademic indicators of student progress, including, but not limited to, the following indicators:

(i) Pupil proficiency in mathematics and English language arts as measured by section 1280g(1)(a)(i) of the revised school code, 1976 PA 451, MCL 380.1280g.

(ii) Pupils achieving adequate growth in mathematics and English language arts as measured by section 1280g(1)(a)(ii) of the revised school code, 1976 PA 451, MCL 380.1280g.

(iii) Impact on chronic absenteeism rates as measured by section 1280g(1)(b)(i) of the revised school code, 1976 PA 451, MCL 380.1280g.

(iv) Impact on student discipline, suspensions, and expulsions using data as reported to and tracked by the center for educational performance and information.

(2) The department shall submit a report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office, by March 1 of the current fiscal year with information about the grant recipients including award amount, details about how the recipient organization will comply with the reporting requirements in subsection (1), and any advancement toward a transition to local funding sources to maintain the pilot program for 5 years.

(3) Unexpended and unencumbered funds up to a maximum $600,000.00 in general fund/general purpose revenue plus any contributions from public entities, up to $600,000.00, and any associated federal match remaining in accounts appropriated in part 1 for wrap-around services are designated as work project appropriations, and any unencumbered or unalloted funds shall not lapse at the end of the fiscal year and shall be available for expenditures for the out of school wrap-around services pilot for the creation of new programs that will promote academic achievement under this section until the work project has been completed. All of the following are in compliance with section 451a(1) of the management and budget act, 1984 PA 431, MCL 18.1451a:

(a) The purpose of the work project is to fund the cost of the creation of wrap-around service programs in 3 communities.

(b) The work project will be accomplished by contracting with nonprofit, community-based organizations to oversee the creation of the new out-of-school programs.

(c) The total estimated completion cost of the work project is $600,000.00.

(d) The tentative completion date is September 30, 2022.

Sec. 1923. From the funds appropriated in part 1 for senior citizen center program grants, the department shall allocate $500,000.00 for a grant program administered by the aging and adult services agency to support health-related senior programs at multipurpose senior citizen centers. Program goals shall include mental and physical health maintenance and improvement for senior participants. Grant awards shall not exceed $5,000.00 for a program. Grantees are encouraged to match the funding with participant fees or other nonstate source of funds. A private housing facility with senior activity programs is not eligible for the grant program.

Sec. 1924. (1) From the funds appropriated in part 1 for senior community services, $400,000.00 is appropriated for Alzheimer’s disease services. The funds shall be remitted to the Alzheimer’s Association-Michigan chapter for the purpose of carrying out a dementia care and support program in Allegan, Kent, Lenawee, Macomb, Midland, Monroe, Oakland, St. Clair, St. Joseph, and Wayne Counties. Program services shall be provided to individuals with Alzheimer’s disease or dementia and their families in the 10 counties, and shall include a 24/7 helpline, continued care consultation, and referrals to support groups and other community-based services. The Alzheimer’s Association-Michigan chapter shall also contract for an evaluation of the program. The total cost for program evaluation shall not exceed $15,000.00.

(2) By March 1 of the current fiscal year, the department shall provide a report to the house and senate subcommittees on the department budget, the house and senate fiscal agencies and policy offices, and the state budget office on the status of the program and the evaluation, the number of employees funded by the program, the number of persons served by the program, and the number of persons served by the program who continue to live in their own home as known as of the date of the report. The report shall include an analysis of program data to assess whether providing the in-home support services significantly delays the need for residential long-term care services for individuals with Alzheimer’s disease or dementia.

Sec. 1925. From the funds appropriated in part 1 for children’s behavioral health counseling services, the department shall allocate $100,000.00 as a grant to Mosaic Counseling for children’s behavioral health counseling services for children in uninsured or underinsured households. As part of the grant agreement, Mosaic Counseling shall provide a report by September 30 of the current fiscal year to the house and senate appropriations subcommittees on the department budget, the house and senate fiscal agencies, the house and senate policy offices, the state budget office, and the department on the number of children served, the counties where the children reside, and the value of the services with the goal of turning the funds appropriated in part 1 into a service value of over $200,000.00.

Sec. 1926. From the funds appropriated in part 1 for food delivery, the department shall allocate $470,000.00 to a nonprofit, community-based organization organized under the laws of this state that are exempt from federal income tax under section 501(c)(3) of the internal revenue code of 1986, 26 USC 501, located in a charter township with a population of between 30,900 and 31,000 according to the most recent decennial census which charter township is located in a county with a population of between 601,000 and 603,000 according to the most recent decennial census. The nonprofit selected shall use the funds to gather and distribute food to relieve hunger and increase food security.

Sec. 1927. From the funds appropriated in part 1 for Asian American health care and wellness initiative, the department shall appropriate $150,000.00 to a nonprofit organization organized under the laws of this state that is exempt from federal income tax under section 501(c)(3) of the internal revenue code of 1986, 26 USC 501, and is located in a county with a population between 602,000 and 603,000 according to the most recent decennial census to implement a pilot program to provide health care services in a culturally and linguistically competent manner. To be eligible to receive funding, the organization must have a stated vision of building a collaborative, active, and committed Asian American community in west Michigan with a focus on health care, education, and empowerment.

Sec. 1928. From the funds appropriated in part 1 for opioid transitional housing and services grant, the department shall allocate $750,000.00 to a nonprofit organization organized under the laws of this state that is exempt from federal income tax under section 501(c)(3) of the internal revenue code of 1986, 26 USC 501, and is located in a county with a population between 160,000 and 162,000 according to the most recent decennial census for operational use as it relates to the state’s mission regarding substance use disorder and opioid abuse. To be eligible to receive funding, the organization must have a stated mission to educate the community on opiate abuse and provide support for families and those suffering addiction.

Sec. 1929. From the funds appropriated in part 1 for refugee assistance grant, the department shall allocate $175,000.00 to a nonprofit corporation organized under the laws of this state that is exempt from federal income tax under section 501(c)(3) of the internal revenue code of 1986, 26 USC 501, to operate an initiative to transition low-income refugee families to self-sufficiency. To be eligible to receive funding, the organization must have a stated core purpose of providing programs that guide, support, and empower individuals to achieve self-sufficiency with dignity and hope. This initiative must utilize a measurable, evidence-based approach that integrates treatment for poverty across health care, human services, educational, faith-based, and governmental programs. The organization receiving funds under this section must report to the department by September 30 of the current fiscal year on metrics used to measure the success and viability of the initiative.

Sec. 1930. (1) From the funds appropriated in part 1 for autism train the trainer grant, the department shall appropriate $100,000.00 to implement a pilot project to train school employees on the principles and practices of applied behavior analysis and research-based intervention strategies. The pilot project must do both of the following:

(a) Train paraprofessionals and teachers in a school district with a headquarters located in a city with a population between 6,900 and 7,000 according to the most recent decennial census in applied behavior analysis skills that match the national standard for behavior technician-level work and research-based intervention strategies.

(b) Train teacher consultants, school social workers, school psychologists, and other school personnel responsible for conducting functional behavioral assessments and the development of behavior support plans in a school district with a headquarters located in a city with a population between 6,900 and 7,000 according to the most recent federal decennial census methods for assuring implementation of a behavior plan with fidelity and strategies for sharing understanding of evidence-based behavioral health approaches with other school-based personnel.

(2) Outcomes and performance measures for the pilot project funded under this section shall include, but not be limited to, the following:

(a) A decrease in the number of center-program and self-contained-classroom referrals.

(b) A decrease in the number of suspensions, removals, and expulsions.

(c) A decrease in paraprofessional absences.

(d) An increase in teacher retention.

(e) An increase in safety.

(3) By September 1 of the current fiscal year, the department shall report to the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office on the information required in subsection (2).

Sec. 1931. The department shall spend available work project revenue to continue the implementation of the Michigan medical resident loan repayment program as specified in section 1918 of article X of 2018 PA 207.

Sec. 1932. (1) From the funds appropriated in part 1 for legal assistance, $60,000.00 shall be allocated to the Allegan County Legal Assistance Center to provide legal assistance to low-income individuals.

(2) The funds appropriated in part 1 for legal assistance shall be disbursed no later than November 1 of the current fiscal year.

Sec. 1933. From the funds appropriated in part 1 for Project ECHO Opioid Intervention, the department shall allocate $40,000.00 to a nonprofit center for rural health housed within a 4-year state university located in a county with a population between 280,000 and 285,000 according to the most recent decennial census for an opioid response consortium in northern Michigan. To be eligible to receive funding, the consortium must have a stated objective to develop and implement strategies to address the opioid epidemic across the Northern Michigan Opioid Response Consortium 14-county region.

Sec. 1934. (1) From the funds appropriated in part 1 for hospital behavioral health pilot program, the department shall appropriate $4,000,000.00 to McLaren Greater Lansing for a pilot program located in a county with a population between 280,000 and 281,000 according to the most recent federal decennial census for the purpose of operating a pilot program to ensure that the behavioral and physical health needs of Michigan residents are addressed. This pilot program shall seek to provide additional behavioral health services in a more efficient manner due to a partnership with state-based institutions on staffing assistance and shared services with a Michigan-based health system. The pilot program shall do all of the following:

(a) Connect participants with available benefits.

(b) Help participants maintain eligibility.

(c) Link participants with necessary health care services.

(d) Maintain participants’ medication routines.

(e) Address participants’ barriers to care.

(2) For the duration of the pilot program, the department shall allow for the direct referral of patients to the pilot program. It is the intent of the legislature that this pilot program shall be designed to last 3 years and that the pilot program not exceed a maximum bed capacity of 45 beds.

(3) By September 30 of the current fiscal year, the managing entity of the pilot program shall submit a report to the department, the senate and house appropriations subcommittees on the department budget, the senate and house fiscal agencies, the senate and house policy offices, and the state budget office. The report shall include, at a minimum, all of the following:

(a) The number of patients served by the pilot program.

(b) A breakdown of state expenditures for the pilot program.

(c) A breakdown of cost savings compared to a facility solely operated by the state.

(d) The average length of a patient stay.

(e) The number of readmissions of a patient in a 365-day period.

(f) Number of staffing hours worked by university students.

(g) The number of admitted patients.

(h) Distance traveled to reach the facility.

(i) Number of patients who had previously been admitted to a mental health facility.

(j) Number of patients who were admitted to a mental health facility for the first time.

Sec. 1935. From the funds appropriated in part 1 for the homelessness elimination blueprint, the department shall allocate $250,000.00 to a county with a population between 1,000,000 and 1,500,000 according to the most recent decennial census. The county receiving the funding shall use the money to research and create a comprehensive actionable plan to end homelessness in that county. The county receiving the funding shall work to improve alignment with existing programs, create an eviction prevention program, create permanent affordable housing, create a system of care for people who are homeless or precariously housed, create strong community engagement, develop programs and incentives to encourage landlords to accept housing vouchers, and develop other programs, initiatives, and systems to assist in eliminating homelessness.

Sec. 1936. From the funds appropriated in part 1 for healthy seniors grant, the department shall allocate $1,000,000.00 for programs and services at a senior citizen center in a city with a population between 45,000 and 50,000 according to the most recent decennial census within a county with a population between 250,000 and 260,000 according to the most recent decennial census. The senior citizen center shall be required to identify nonstate matching funds in an equivalent amount in order to receive the grant.

Sec. 1937. From the funds appropriated in part 1 for sexual assault comprehensive services grant, $2,000,000.00 shall be allocated to the Michigan domestic and sexual violence prevention and treatment board (MDSVPTB) for sexual assault comprehensive victim services funding, as defined by MDSVPTB, to be distributed through a competitive grant process to entities determined by MDSVPTB to have demonstrated capacity to provide such services.

This act is ordered to take immediate effect.

Secretary of the Senate

Clerk of the House of Representatives

Approved

Governor