IC 12-21-2-1 Appointment
Sec. 1. The division shall be administered by a director appointed
under IC 12-8-8-1. As added by P.L.2-1992, SEC.15.
IC 12-21-2-2 Application of IC 12-8-8
Sec. 2. IC 12-8-8 applies to the director. As added by P.L.2-1992, SEC.15.
IC 12-21-2-3 Authority; duties
Sec. 3. (a) In addition to the general authority granted to the
director under IC 12-8-8, the director shall do the following:
(1) Organize the division, create the appropriate personnel
positions, and employ personnel necessary to discharge the
statutory duties and powers of the division or a bureau of the
division.
(2) Subject to the approval of the state personnel department,
establish personnel qualifications for all deputy directors,
assistant directors, bureau heads, and superintendents.
(3) Subject to the approval of the budget director and the
governor, establish the compensation of all deputy directors,
assistant directors, bureau heads, and superintendents.
(4) Study the entire problem of mental health, mental illness,
and addictions existing in Indiana.
(5) Adopt rules under IC 4-22-2 for the following:
(A) Standards for the operation of private institutions that
are licensed under IC 12-25 for the diagnosis, treatment, and
care of individuals with psychiatric disorders, addictions, or
other abnormal mental conditions.
(B) Licensing supervised group living facilities described in
IC 12-22-2-3 for individuals with a mental illness.
(C) Certifying community residential programs described in
IC 12-22-2-3 for individuals with a mental illness.
(D) Certifying community mental health centers to operate
in Indiana.
(E) Establish exclusive geographic primary service areas for
community mental health centers. The rules must include the
following:
(i) Criteria and procedures to justify the change to the
boundaries of a community mental health center's primary
service area.
(ii) Criteria and procedures to justify the change of an
assignment of a community mental health center to a
primary service area.
(iii) A provision specifying that the criteria and procedures
determined in items (i) and (ii) must include an option for
the county and the community mental health center to
initiate a request for a change in primary service area or
provider assignment.
(iv) A provision specifying the criteria and procedures
determined in items (i) and (ii) may not limit an eligible
consumer's right to choose or access the services of any
provider who is certified by the division of mental health
and addiction to provide public supported mental health
services.
(6) Institute programs, in conjunction with an accredited college
or university and with the approval, if required by law, of the
commission for higher education, for the instruction of students
of mental health and other related occupations. The programs
may be designed to meet requirements for undergraduate and
postgraduate degrees and to provide continuing education and
research.
(7) Develop programs to educate the public in regard to the
prevention, diagnosis, treatment, and care of all abnormal
mental conditions.
(8) Make the facilities of the Larue D. Carter Memorial
Hospital available for the instruction of medical students,
student nurses, interns, and resident physicians under the
supervision of the faculty of the Indiana University School of
Medicine for use by the school in connection with research and
instruction in psychiatric disorders.
(9) Institute a stipend program designed to improve the quality
and quantity of staff that state institutions employ.
(10) Establish, supervise, and conduct community programs,
either directly or by contract, for the diagnosis, treatment, and
prevention of psychiatric disorders.
(11) Adopt rules under IC 4-22-2 concerning the records and
data to be kept concerning individuals admitted to state
institutions, community mental health centers, or managed care
providers.
(12) Establish, maintain, and reallocate before July 1, 1996,
one-third (1/3), and before January 1, 1998, the remaining
two-thirds (2/3) of the following:
(A) long term care service settings; and
(B) state operated long term care inpatient beds;
designed to provide services for patients with long term
psychiatric disorders as determined by the quadrennial actuarial
study under IC 12-21-5-1.5(9). A proportional number of long
term care service settings and inpatient beds must be located in
an area that includes a consolidated city and its adjacent
counties.
(13) Compile information and statistics concerning the ethnicity
and gender of a program or service recipient.
(14) Establish standards for each element of the continuum of
care for community mental health centers and managed care
providers.
(b) As used in this section, "long term care service setting" means
the following:
(1) The anticipated duration of the patient's mental health
setting is more than twelve (12) months.
(2) Twenty-four (24) hour supervision of the patient is
available.
(3) A patient in the long term care service setting receives:
(A) active treatment if appropriate for a patient with a
chronic and persistent mental disorder or chronic addictive
disorder;
(B) case management services from a state approved
provider; and
(C) maintenance of care under the direction of a physician.
(4) Crisis care is available.
(c) Funding for services under subsection (a)(12) shall be
provided by the division through the reallocation of existing
appropriations. The need of the patients is a priority for services. The
division shall adopt rules to implement subsection (a)(12) before July
1, 1995. As added by P.L.2-1992, SEC.15. Amended by P.L.40-1994, SEC.28;
P.L.142-1995, SEC.4; P.L.111-1997, SEC.3; P.L.215-2001, SEC.56;
P.L.79-2002, SEC.1; P.L.2-2007, SEC.163; P.L.99-2007, SEC.100.
IC 12-21-2-4 Community programs; availability of services
Sec. 4. Subject to IC 12-26-2-9, the services provided under
community programs under section 3(10) of this chapter must be
available to any person upon a court order under IC 12-26. As added by P.L.2-1992, SEC.15.
IC 12-21-2-5 Delegation of duties or powers; final decision requirement;
exemption
Sec. 5. (a) Subject to subsection (b), the director may delegate
statutory duties or powers of the division, a bureau of the division,
the director, or other statutorily created personnel.
(b) If the director decides that a final decision is to be made
concerning the placement of an individual with a mental illness in a
mental health facility, the final decision must be made:
(1) by the director, if the director is a licensed psychiatrist or
licensed psychologist; or
(2) by a licensed psychiatrist or licensed psychologist who is
delegated the authority by the director;
in consultation with the patient's psychiatrist or psychologist.
(c) Subsection (b) does not apply to an initial placement
designation made under IC 12-24-12-10(b). As added by P.L.2-1992, SEC.15. Amended by P.L.25-2003, SEC.2;
P.L.184-2003, SEC.12; P.L.99-2007, SEC.101. IC 12-21-2-6 Repealed
(Repealed by P.L.40-1994, SEC.83.)
IC 12-21-2-7 Contracts; powers; approval; requisites
Sec. 7. (a) The director may act for the division in entering into
contracts for the disbursal of money and the providing of service.
(b) Before entering into a contract under this section, the director
shall submit the contract to the attorney general for approval as to
form and legality.
(c) A contract under this section must do the following:
(1) Specify the services to be provided and the client
populations to whom services must be provided.
(2) Provide for a reduction in funding for the failure to comply
with terms of the contract. As added by P.L.2-1992, SEC.15. Amended by P.L.40-1994, SEC.29.
IC 12-21-2-8 Monitoring, evaluation, and quality assurance; award of contracts;
reimbursement of contract payments; approval of contracts;
required contents of contracts
Sec. 8. (a) The director shall develop a comprehensive system of
monitoring, evaluation, and quality assurance for the continuum of
care required by this chapter.
(b) The director shall determine to whom contracts are awarded,
based on the following factors:
(1) The continuity of services a contractor provides for patients.
(2) The accessibility of a contractor's services to patients.
(3) The acceptability of a contractor's services to patients.
(4) A contractor's ability to focus services on building the
self-sufficiency of the patient.
(c) This subsection applies to the reimbursement of contract
payments to managed care providers. Payments must be determined
prospectively in accordance with generally accepted accounting
principles and actuarial principles recognizing costs incurred by
efficiently and economically operated programs that:
(1) serve individuals with a mental illness or substance abuse
patients; and
(2) are subject to quality and safety standards and laws.
(d) Before entering into a contract under this section, the director
shall submit the contract to the attorney general for approval as to
form and legality.
(e) A contract under this section must do the following:
(1) Specify:
(A) the work to be performed; and
(B) the patient populations to whom services must be
provided.
(2) Provide for a reduction in funding or termination of the
contract for failure to comply with terms of the contract.
(3) Require that the contractor meet the standards set forth in
rules adopted by the division of mental health and addiction
under IC 4-22-2.
(4) Require that the contractor participate in the division's
evaluation process.
(5) For any service for which the division chooses to contract
on a per diem basis, the per diem reimbursement shall be
determined under subsection (c) for the contractor's reasonable
cost of providing services.
(6) In contracts with capitated payment provisions, provide that
the contractor's cost of purchasing stop-loss insurance for the
patient populations to be served in amounts and with limits
customarily purchased by prepaid health care plans must be:
(A) included in the actuarial determination of the capitated
payment amounts; or
(B) separately paid to the contractor by the division.
(7) Provide that a contract for enumerated services granted by
the division under this section to an approved managed care
provider may not create or confer upon the managed care
provider liability or responsibility for care or services beyond
those services supported by the contract. As added by P.L.40-1994, SEC.30. Amended by P.L.215-2001,
SEC.57; P.L.99-2007, SEC.102.
IC 12-21-2-9
Repealed
(Repealed by P.L.40-1994, SEC.85.)
IC 12-21-2-1 Appointment
Sec. 1. The division shall be administered by a director appointed
under IC 12-8-8-1. As added by P.L.2-1992, SEC.15.
IC 12-21-2-2 Application of IC 12-8-8
Sec. 2. IC 12-8-8 applies to the director. As added by P.L.2-1992, SEC.15.
IC 12-21-2-3 Authority; duties
Sec. 3. (a) In addition to the general authority granted to the
director under IC 12-8-8, the director shall do the following:
(1) Organize the division, create the appropriate personnel
positions, and employ personnel necessary to discharge the
statutory duties and powers of the division or a bureau of the
division.
(2) Subject to the approval of the state personnel department,
establish personnel qualifications for all deputy directors,
assistant directors, bureau heads, and superintendents.
(3) Subject to the approval of the budget director and the
governor, establish the compensation of all deputy directors,
assistant directors, bureau heads, and superintendents.
(4) Study the entire problem of mental health, mental illness,
and addictions existing in Indiana.
(5) Adopt rules under IC 4-22-2 for the following:
(A) Standards for the operation of private institutions that
are licensed under IC 12-25 for the diagnosis, treatment, and
care of individuals with psychiatric disorders, addictions, or
other abnormal mental conditions.
(B) Licensing supervised group living facilities described in
IC 12-22-2-3 for individuals with a mental illness.
(C) Certifying community residential programs described in
IC 12-22-2-3 for individuals with a mental illness.
(D) Certifying community mental health centers to operate
in Indiana.
(E) Establish exclusive geographic primary service areas for
community mental health centers. The rules must include the
following:
(i) Criteria and procedures to justify the change to the
boundaries of a community mental health center's primary
service area.
(ii) Criteria and procedures to justify the change of an
assignment of a community mental health center to a
primary service area.
(iii) A provision specifying that the criteria and procedures
determined in items (i) and (ii) must include an option for
the county and the community mental health center to
initiate a request for a change in primary service area or
provider assignment.
(iv) A provision specifying the criteria and procedures
determined in items (i) and (ii) may not limit an eligible
consumer's right to choose or access the services of any
provider who is certified by the division of mental health
and addiction to provide public supported mental health
services.
(6) Institute programs, in conjunction with an accredited college
or university and with the approval, if required by law, of the
commission for higher education, for the instruction of students
of mental health and other related occupations. The programs
may be designed to meet requirements for undergraduate and
postgraduate degrees and to provide continuing education and
research.
(7) Develop programs to educate the public in regard to the
prevention, diagnosis, treatment, and care of all abnormal
mental conditions.
(8) Make the facilities of the Larue D. Carter Memorial
Hospital available for the instruction of medical students,
student nurses, interns, and resident physicians under the
supervision of the faculty of the Indiana University School of
Medicine for use by the school in connection with research and
instruction in psychiatric disorders.
(9) Institute a stipend program designed to improve the quality
and quantity of staff that state institutions employ.
(10) Establish, supervise, and conduct community programs,
either directly or by contract, for the diagnosis, treatment, and
prevention of psychiatric disorders.
(11) Adopt rules under IC 4-22-2 concerning the records and
data to be kept concerning individuals admitted to state
institutions, community mental health centers, or managed care
providers.
(12) Establish, maintain, and reallocate before July 1, 1996,
one-third (1/3), and before January 1, 1998, the remaining
two-thirds (2/3) of the following:
(A) long term care service settings; and
(B) state operated long term care inpatient beds;
designed to provide services for patients with long term
psychiatric disorders as determined by the quadrennial actuarial
study under IC 12-21-5-1.5(9). A proportional number of long
term care service settings and inpatient beds must be located in
an area that includes a consolidated city and its adjacent
counties.
(13) Compile information and statistics concerning the ethnicity
and gender of a program or service recipient.
(14) Establish standards for each element of the continuum of
care for community mental health centers and managed care
providers.
(b) As used in this section, "long term care service setting" means
the following:
(1) The anticipated duration of the patient's mental health
setting is more than twelve (12) months.
(2) Twenty-four (24) hour supervision of the patient is
available.
(3) A patient in the long term care service setting receives:
(A) active treatment if appropriate for a patient with a
chronic and persistent mental disorder or chronic addictive
disorder;
(B) case management services from a state approved
provider; and
(C) maintenance of care under the direction of a physician.
(4) Crisis care is available.
(c) Funding for services under subsection (a)(12) shall be
provided by the division through the reallocation of existing
appropriations. The need of the patients is a priority for services. The
division shall adopt rules to implement subsection (a)(12) before July
1, 1995. As added by P.L.2-1992, SEC.15. Amended by P.L.40-1994, SEC.28;
P.L.142-1995, SEC.4; P.L.111-1997, SEC.3; P.L.215-2001, SEC.56;
P.L.79-2002, SEC.1; P.L.2-2007, SEC.163; P.L.99-2007, SEC.100.
IC 12-21-2-4 Community programs; availability of services
Sec. 4. Subject to IC 12-26-2-9, the services provided under
community programs under section 3(10) of this chapter must be
available to any person upon a court order under IC 12-26. As added by P.L.2-1992, SEC.15.
IC 12-21-2-5 Delegation of duties or powers; final decision requirement;
exemption
Sec. 5. (a) Subject to subsection (b), the director may delegate
statutory duties or powers of the division, a bureau of the division,
the director, or other statutorily created personnel.
(b) If the director decides that a final decision is to be made
concerning the placement of an individual with a mental illness in a
mental health facility, the final decision must be made:
(1) by the director, if the director is a licensed psychiatrist or
licensed psychologist; or
(2) by a licensed psychiatrist or licensed psychologist who is
delegated the authority by the director;
in consultation with the patient's psychiatrist or psychologist.
(c) Subsection (b) does not apply to an initial placement
designation made under IC 12-24-12-10(b). As added by P.L.2-1992, SEC.15. Amended by P.L.25-2003, SEC.2;
P.L.184-2003, SEC.12; P.L.99-2007, SEC.101. IC 12-21-2-6 Repealed
(Repealed by P.L.40-1994, SEC.83.)
IC 12-21-2-7 Contracts; powers; approval; requisites
Sec. 7. (a) The director may act for the division in entering into
contracts for the disbursal of money and the providing of service.
(b) Before entering into a contract under this section, the director
shall submit the contract to the attorney general for approval as to
form and legality.
(c) A contract under this section must do the following:
(1) Specify the services to be provided and the client
populations to whom services must be provided.
(2) Provide for a reduction in funding for the failure to comply
with terms of the contract. As added by P.L.2-1992, SEC.15. Amended by P.L.40-1994, SEC.29.
IC 12-21-2-8 Monitoring, evaluation, and quality assurance; award of contracts;
reimbursement of contract payments; approval of contracts;
required contents of contracts
Sec. 8. (a) The director shall develop a comprehensive system of
monitoring, evaluation, and quality assurance for the continuum of
care required by this chapter.
(b) The director shall determine to whom contracts are awarded,
based on the following factors:
(1) The continuity of services a contractor provides for patients.
(2) The accessibility of a contractor's services to patients.
(3) The acceptability of a contractor's services to patients.
(4) A contractor's ability to focus services on building the
self-sufficiency of the patient.
(c) This subsection applies to the reimbursement of contract
payments to managed care providers. Payments must be determined
prospectively in accordance with generally accepted accounting
principles and actuarial principles recognizing costs incurred by
efficiently and economically operated programs that:
(1) serve individuals with a mental illness or substance abuse
patients; and
(2) are subject to quality and safety standards and laws.
(d) Before entering into a contract under this section, the director
shall submit the contract to the attorney general for approval as to
form and legality.
(e) A contract under this section must do the following:
(1) Specify:
(A) the work to be performed; and
(B) the patient populations to whom services must be
provided.
(2) Provide for a reduction in funding or termination of the
contract for failure to comply with terms of the contract.
(3) Require that the contractor meet the standards set forth in
rules adopted by the division of mental health and addiction
under IC 4-22-2.
(4) Require that the contractor participate in the division's
evaluation process.
(5) For any service for which the division chooses to contract
on a per diem basis, the per diem reimbursement shall be
determined under subsection (c) for the contractor's reasonable
cost of providing services.
(6) In contracts with capitated payment provisions, provide that
the contractor's cost of purchasing stop-loss insurance for the
patient populations to be served in amounts and with limits
customarily purchased by prepaid health care plans must be:
(A) included in the actuarial determination of the capitated
payment amounts; or
(B) separately paid to the contractor by the division.
(7) Provide that a contract for enumerated services granted by
the division under this section to an approved managed care
provider may not create or confer upon the managed care
provider liability or responsibility for care or services beyond
those services supported by the contract. As added by P.L.40-1994, SEC.30. Amended by P.L.215-2001,
SEC.57; P.L.99-2007, SEC.102.
IC 12-21-2-9
Repealed
(Repealed by P.L.40-1994, SEC.85.)
IC 12-21-2-1 Appointment
Sec. 1. The division shall be administered by a director appointed
under IC 12-8-8-1. As added by P.L.2-1992, SEC.15.
IC 12-21-2-2 Application of IC 12-8-8
Sec. 2. IC 12-8-8 applies to the director. As added by P.L.2-1992, SEC.15.
IC 12-21-2-3 Authority; duties
Sec. 3. (a) In addition to the general authority granted to the
director under IC 12-8-8, the director shall do the following:
(1) Organize the division, create the appropriate personnel
positions, and employ personnel necessary to discharge the
statutory duties and powers of the division or a bureau of the
division.
(2) Subject to the approval of the state personnel department,
establish personnel qualifications for all deputy directors,
assistant directors, bureau heads, and superintendents.
(3) Subject to the approval of the budget director and the
governor, establish the compensation of all deputy directors,
assistant directors, bureau heads, and superintendents.
(4) Study the entire problem of mental health, mental illness,
and addictions existing in Indiana.
(5) Adopt rules under IC 4-22-2 for the following:
(A) Standards for the operation of private institutions that
are licensed under IC 12-25 for the diagnosis, treatment, and
care of individuals with psychiatric disorders, addictions, or
other abnormal mental conditions.
(B) Licensing supervised group living facilities described in
IC 12-22-2-3 for individuals with a mental illness.
(C) Certifying community residential programs described in
IC 12-22-2-3 for individuals with a mental illness.
(D) Certifying community mental health centers to operate
in Indiana.
(E) Establish exclusive geographic primary service areas for
community mental health centers. The rules must include the
following:
(i) Criteria and procedures to justify the change to the
boundaries of a community mental health center's primary
service area.
(ii) Criteria and procedures to justify the change of an
assignment of a community mental health center to a
primary service area.
(iii) A provision specifying that the criteria and procedures
determined in items (i) and (ii) must include an option for
the county and the community mental health center to
initiate a request for a change in primary service area or
provider assignment.
(iv) A provision specifying the criteria and procedures
determined in items (i) and (ii) may not limit an eligible
consumer's right to choose or access the services of any
provider who is certified by the division of mental health
and addiction to provide public supported mental health
services.
(6) Institute programs, in conjunction with an accredited college
or university and with the approval, if required by law, of the
commission for higher education, for the instruction of students
of mental health and other related occupations. The programs
may be designed to meet requirements for undergraduate and
postgraduate degrees and to provide continuing education and
research.
(7) Develop programs to educate the public in regard to the
prevention, diagnosis, treatment, and care of all abnormal
mental conditions.
(8) Make the facilities of the Larue D. Carter Memorial
Hospital available for the instruction of medical students,
student nurses, interns, and resident physicians under the
supervision of the faculty of the Indiana University School of
Medicine for use by the school in connection with research and
instruction in psychiatric disorders.
(9) Institute a stipend program designed to improve the quality
and quantity of staff that state institutions employ.
(10) Establish, supervise, and conduct community programs,
either directly or by contract, for the diagnosis, treatment, and
prevention of psychiatric disorders.
(11) Adopt rules under IC 4-22-2 concerning the records and
data to be kept concerning individuals admitted to state
institutions, community mental health centers, or managed care
providers.
(12) Establish, maintain, and reallocate before July 1, 1996,
one-third (1/3), and before January 1, 1998, the remaining
two-thirds (2/3) of the following:
(A) long term care service settings; and
(B) state operated long term care inpatient beds;
designed to provide services for patients with long term
psychiatric disorders as determined by the quadrennial actuarial
study under IC 12-21-5-1.5(9). A proportional number of long
term care service settings and inpatient beds must be located in
an area that includes a consolidated city and its adjacent
counties.
(13) Compile information and statistics concerning the ethnicity
and gender of a program or service recipient.
(14) Establish standards for each element of the continuum of
care for community mental health centers and managed care
providers.
(b) As used in this section, "long term care service setting" means
the following:
(1) The anticipated duration of the patient's mental health
setting is more than twelve (12) months.
(2) Twenty-four (24) hour supervision of the patient is
available.
(3) A patient in the long term care service setting receives:
(A) active treatment if appropriate for a patient with a
chronic and persistent mental disorder or chronic addictive
disorder;
(B) case management services from a state approved
provider; and
(C) maintenance of care under the direction of a physician.
(4) Crisis care is available.
(c) Funding for services under subsection (a)(12) shall be
provided by the division through the reallocation of existing
appropriations. The need of the patients is a priority for services. The
division shall adopt rules to implement subsection (a)(12) before July
1, 1995. As added by P.L.2-1992, SEC.15. Amended by P.L.40-1994, SEC.28;
P.L.142-1995, SEC.4; P.L.111-1997, SEC.3; P.L.215-2001, SEC.56;
P.L.79-2002, SEC.1; P.L.2-2007, SEC.163; P.L.99-2007, SEC.100.
IC 12-21-2-4 Community programs; availability of services
Sec. 4. Subject to IC 12-26-2-9, the services provided under
community programs under section 3(10) of this chapter must be
available to any person upon a court order under IC 12-26. As added by P.L.2-1992, SEC.15.
IC 12-21-2-5 Delegation of duties or powers; final decision requirement;
exemption
Sec. 5. (a) Subject to subsection (b), the director may delegate
statutory duties or powers of the division, a bureau of the division,
the director, or other statutorily created personnel.
(b) If the director decides that a final decision is to be made
concerning the placement of an individual with a mental illness in a
mental health facility, the final decision must be made:
(1) by the director, if the director is a licensed psychiatrist or
licensed psychologist; or
(2) by a licensed psychiatrist or licensed psychologist who is
delegated the authority by the director;
in consultation with the patient's psychiatrist or psychologist.
(c) Subsection (b) does not apply to an initial placement
designation made under IC 12-24-12-10(b). As added by P.L.2-1992, SEC.15. Amended by P.L.25-2003, SEC.2;
P.L.184-2003, SEC.12; P.L.99-2007, SEC.101. IC 12-21-2-6 Repealed
(Repealed by P.L.40-1994, SEC.83.)
IC 12-21-2-7 Contracts; powers; approval; requisites
Sec. 7. (a) The director may act for the division in entering into
contracts for the disbursal of money and the providing of service.
(b) Before entering into a contract under this section, the director
shall submit the contract to the attorney general for approval as to
form and legality.
(c) A contract under this section must do the following:
(1) Specify the services to be provided and the client
populations to whom services must be provided.
(2) Provide for a reduction in funding for the failure to comply
with terms of the contract. As added by P.L.2-1992, SEC.15. Amended by P.L.40-1994, SEC.29.
IC 12-21-2-8 Monitoring, evaluation, and quality assurance; award of contracts;
reimbursement of contract payments; approval of contracts;
required contents of contracts
Sec. 8. (a) The director shall develop a comprehensive system of
monitoring, evaluation, and quality assurance for the continuum of
care required by this chapter.
(b) The director shall determine to whom contracts are awarded,
based on the following factors:
(1) The continuity of services a contractor provides for patients.
(2) The accessibility of a contractor's services to patients.
(3) The acceptability of a contractor's services to patients.
(4) A contractor's ability to focus services on building the
self-sufficiency of the patient.
(c) This subsection applies to the reimbursement of contract
payments to managed care providers. Payments must be determined
prospectively in accordance with generally accepted accounting
principles and actuarial principles recognizing costs incurred by
efficiently and economically operated programs that:
(1) serve individuals with a mental illness or substance abuse
patients; and
(2) are subject to quality and safety standards and laws.
(d) Before entering into a contract under this section, the director
shall submit the contract to the attorney general for approval as to
form and legality.
(e) A contract under this section must do the following:
(1) Specify:
(A) the work to be performed; and
(B) the patient populations to whom services must be
provided.
(2) Provide for a reduction in funding or termination of the
contract for failure to comply with terms of the contract.
(3) Require that the contractor meet the standards set forth in
rules adopted by the division of mental health and addiction
under IC 4-22-2.
(4) Require that the contractor participate in the division's
evaluation process.
(5) For any service for which the division chooses to contract
on a per diem basis, the per diem reimbursement shall be
determined under subsection (c) for the contractor's reasonable
cost of providing services.
(6) In contracts with capitated payment provisions, provide that
the contractor's cost of purchasing stop-loss insurance for the
patient populations to be served in amounts and with limits
customarily purchased by prepaid health care plans must be:
(A) included in the actuarial determination of the capitated
payment amounts; or
(B) separately paid to the contractor by the division.
(7) Provide that a contract for enumerated services granted by
the division under this section to an approved managed care
provider may not create or confer upon the managed care
provider liability or responsibility for care or services beyond
those services supported by the contract. As added by P.L.40-1994, SEC.30. Amended by P.L.215-2001,
SEC.57; P.L.99-2007, SEC.102.
IC 12-21-2-9
Repealed
(Repealed by P.L.40-1994, SEC.85.)
