(a) The Department of State Health Services shall administer a primary care block grant if that grant is authorized and if the department satisfies federal requirements relating to the designation of an agency to administer the grant.
(b) In administering the primary care block grant, the department may:
(1) receive the primary care block grant funds on behalf of the state;
(2) spend primary care block grant funds and state funds specifically appropriated by the legislature to match funds received under a primary care block grant;
(3) make grants to, advance funds to, contract with, and take other actions through community health centers that meet the requirements of 42 U.S.C. § 254c(e)(3) to provide for the delivery of primary and supplemental health services to medically underserved populations of the state; and
(4) perform other activities necessary to administer the primary care block grant.

(b-1) The executive commissioner of the Health and Human Services Commission may adopt necessary rules for administering the primary care block grant.
(c) In this section:
(1) “Community health center” has the meaning assigned by 42 U.S.C. § 254c(a), as that law existed on April 23, 1986.
(2) “Medically underserved population,” “primary health services,” and “supplemental health services” have the meanings assigned by 42 U.S.C. § 254c(b), as that law existed on April 23, 1986.