A. The department and the authority shall administer the loan programs established pursuant to the provisions of the Behavioral Health Capital Funding Act. The department and the authority shall:

Ask a legal question, get an answer ASAP!
Click here to chat with a lawyer about your rights.

(1)     enter into joint powers agreements with each other or other appropriate public agencies to carry out the provisions of that act; and

(2)     apply to any appropriate federal, state or local governmental agency or private organization for grants and gifts to carry out the provisions of that act.

B. The department and the authority may:

(1)     instead of a loan, contract for services with an eligible entity to provide free or reduced-fee primary care services for sick and medically indigent persons as reasonably adequate legal consideration for money from the fund to the eligible entity so it may acquire or construct a capital project to provide the services;

(2)     make and enter into contracts and agreements necessary to carry out their powers and duties pursuant to the provisions of the Behavioral Health Capital Funding Act; and

(3)     do all things necessary or appropriate to carry out the provisions of the Behavioral Health Capital Funding Act.

C. The authority is responsible for all financial duties of the programs, including: (1)     administering the fund;

(2)     accounting for all money received, controlled or disbursed for capital projects in accordance with the provisions of the Behavioral Health Capital Funding Act;

(3)     evaluating and approving loans, including determining the financial capacity of an eligible entity;

(4)     enforcing contract provisions of loans, including the ability to sue to recover money or property owed the state;

(5)     determining interest rates and other financial aspects of a loan and relevant terms of a contract for services; and

(6)     performing other duties in accordance with the provisions of the Behavioral Health Capital Funding Act, rules promulgated pursuant to that act or joint powers agreements entered into with the department.

D. The department is responsible for the following duties:

(1)     defining sick and medically indigent persons for purposes of the Behavioral Health Capital Funding Act;

(2)     establishing priorities for loans;

(3)     determining the appropriateness of a project;

(4)     evaluating the capability of an applicant to provide and maintain behavioral health services;

(5)     selecting recipients of loans and persons with whom to contract for services; and

(6)     determining that projects comply with all state and federal licensing requirements.

E. The authority may make a loan to an eligible entity to acquire, construct, renovate or otherwise improve a capital project, provided there is a finding:

(1)     by the department that the project will provide behavioral health services to sick and indigent persons as determined by the department; and

(2)     by the authority that there is adequate protection, including loan guarantees, real property liens, title insurance, security interests in or pledges of accounts and other assets, loan covenants and warranties or restrictions or other encumbrances and pledges for the state funds extended for the loan.