By: Hernandez, Coleman H.B. No. 2251 A BILL TO BE ENTITLED AN ACT relating to funding of entities through the community collaborative grant program. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 539.002(b), Government Code, is amended to read as follows: (b) Except as provided by Subsection (c), the department shall require each entity awarded a grant under this section to: (1) leverage additional funding or in-kind contributions from private sources or local governmental sources in an amount that is at least equal to the amount of the grant awarded under this section; (2) provide evidence of significant coordination and collaboration between the entity, local mental health authorities, municipalities, local law enforcement agencies, and other community stakeholders in establishing or expanding a community collaborative funded by a grant awarded under this section; and (3) provide evidence of a local law enforcement policy to divert appropriate persons from jails or other detention facilities to an entity affiliated with a community collaborative for the purpose of providing services to those persons. SECTION 2. Section 539.003, Government Code, is amended to read as follows: Sec. 539.003. ACCEPTABLE USES OF GRANT MONEY. An entity shall use money received from a grant made by the department and private funding sources for the establishment or expansion of a community collaborative[, provided that the collaborative must be self-sustaining within seven years]. Acceptable uses for the money include: (1) the development of the infrastructure of the collaborative and the start-up costs of the collaborative; (2) the establishment, operation, or maintenance of other community service providers in the community served by the collaborative, including intake centers, detoxification units, sheltering centers for food, workforce training centers, microbusinesses, and educational centers; (3) the provision of clothing, hygiene products, and medical services to and the arrangement of transitional and permanent residential housing for persons served by the collaborative; (4) the provision of mental health services and substance abuse treatment not readily available in the community served by the collaborative; (5) the provision of information, tools, and resource referrals to assist persons served by the collaborative in addressing the needs of their children; and (6) the establishment and operation of coordinated intake processes, including triage procedures, to protect the public safety in the community served by the collaborative. SECTION 3. Section 539.0051(a), Government Code, is amended to read as follows: (a) The governing body of a county shall develop and make public a plan detailing: (1) how local mental health authorities, municipalities, local law enforcement agencies, and other community stakeholders in the county could coordinate to establish or expand a community collaborative to accomplish the goals of Section 539.002; (2) how entities in the county may leverage funding from private sources or local governmental sources to accomplish the goals of Section 539.002 through the formation or expansion of a community collaborative; and (3) how the formation or expansion of a community collaborative could establish or support resources or services to help local law enforcement agencies to divert persons who have been arrested to appropriate mental health care or substance abuse treatment. SECTION 4. Section 539.007, Government Code, is amended to read as follows: Sec. 539.007. REDUCTION AND CESSATION OF FUNDING. The department shall establish processes by which the department may reduce or cease providing funding to an entity if the community collaborative operated by the entity does not meet the outcome measures selected by the entity for the collaborative under Section 539.005 [or is not self-sustaining after seven years]. The department shall redistribute any funds withheld from an entity under this section to other entities operating high-performing collaboratives on a competitive basis. SECTION 5. The changes in law made by this Act apply to a grant awarded on or after the effective date of this Act. A grant awarded under a provision amended by this Act is governed by the law in effect on the date the grant was awarded, and the former law is continued in effect for that purpose. SECTION 6. This Act takes effect September 1, 2021.