88R11930 MPF-D By: Jetton H.B. No. 2072 Substitute the following for H.B. No. 2072: By: Klick C.S.H.B. No. 2072 A BILL TO BE ENTITLED AN ACT relating to eligibility for a grant to reduce recidivism, arrest, and incarceration of individuals with mental illness. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Section 531.0993, Government Code, is amended by amending Subsections (a), (b), (c), (c-1), (c-2), (d), (f-1), (g), (h), and (i) and adding Subsection (a-1) to read as follows: (a) In this section, "qualified entity" means a county-based community collaborative or a nonprofit organization that is exempt from federal income taxation under Section 501(a), Internal Revenue Code of 1986, by being listed as an exempt entity under Section 501(c)(3) of that code. (a-1) The commission shall establish a program to provide grants to qualified entities [county-based community collaboratives] for the purposes of reducing: (1) recidivism by, the frequency of arrests of, and incarceration of persons with mental illness; and (2) the total waiting time for forensic commitment of persons with mental illness to a state hospital. (b) A qualified entity that is a community collaborative may petition the commission for a grant under the program only if the collaborative includes a county, a local mental health authority that operates in the county, and each hospital district, if any, located in the county. A community collaborative may include other local entities designated by the collaborative's members. (c) The commission shall condition each grant provided to a qualified entity [community collaborative] under this section on the qualified entity [collaborative] providing funds from non-state sources in a total amount at least equal to: (1) 25 percent of the grant amount if the qualified entity that is a community collaborative includes or the qualified entity that is a nonprofit organization operates in a county with a population of less than 100,000; (2) 50 percent of the grant amount if the qualified entity [collaborative] includes or operates in a county with a population of 100,000 or more but less than 250,000; (3) 100 percent of the grant amount if the qualified entity [collaborative] includes or operates in a county with a population of 250,000 or more; and (4) the percentage of the grant amount otherwise required by this subsection for the largest county included in the qualified entity or within which the entity operates [collaborative], if the qualified entity [collaborative] includes or operates in more than one county. (c-1) To raise the required non-state sourced funds, a qualified entity [collaborative] may seek and receive gifts, grants, or donations from any person. (c-2) From [Beginning on or after September 1, 2018, from] money appropriated to the commission for each fiscal year to implement this section, the commission shall reserve at least 20 percent of that total to be awarded only as grants to a qualified entity [community collaborative] that includes or operates in a county with a population of less than 250,000. (d) For each state fiscal year for which a qualified entity [community collaborative] seeks a grant, the qualified entity [collaborative] must submit a petition to the commission not later than the 30th day of that fiscal year. The qualified entity [community collaborative] must include with a petition: (1) a statement indicating the amount of funds from non-state sources the qualified entity [collaborative] is able to provide; and (2) a plan that: (A) is endorsed by each of the qualified entity's [collaborative's] member entities, for a qualified entity that is a community collaborative; (B) identifies a target population; (C) describes how the grant money and funds from non-state sources will be used; (D) includes outcome measures to evaluate the success of the plan; and (E) describes how the success of the plan in accordance with the outcome measures would further the state's interest in the grant program's purposes. (f-1) To [Beginning on or after September 1, 2018, to] the extent money appropriated to the commission for a fiscal year to implement this section remains available to the commission after the commission selects grant recipients for the fiscal year, the commission shall make grants available using the money remaining for the fiscal year through a competitive request for proposal process, without regard to the limitation provided by Subsection (c-2). (g) Not later than the 90th day after the last day of the state fiscal year for which the commission distributes a grant under this section, each qualified entity [community collaborative] that receives a grant shall prepare and submit a report describing the effect of the grant money and matching funds in achieving the standard defined by the outcome measures in the plan submitted under Subsection (d). (h) The commission may make inspections of the operation and provision of mental health services provided by a qualified entity [community collaborative] to ensure state money appropriated for the grant program is used effectively. (i) The commission may not award a grant under this section for a fiscal year to a qualified entity [community collaborative] that includes or operates in a county with a population greater than four million if the legislature appropriates money for a mental health jail diversion program in the county for that fiscal year. SECTION 2. Section 531.09935, Government Code, is amended by amending Subsections (a), (b), (c), (d), (e), (g), and (h) and adding Subsection (a-1) to read as follows: (a) In this section, "qualified entity" means a county-based community collaborative or a nonprofit organization that is exempt from federal income taxation under Section 501(a), Internal Revenue Code of 1986, by being listed as an exempt entity under Section 501(c)(3) of that code. (a-1) The commission shall establish a program to provide a grant to a qualified entity [county-based community collaborative] in the most populous county in this state for the purposes of reducing: (1) recidivism by, the frequency of arrests of, and incarceration of persons with mental illness; and (2) the total waiting time for forensic commitment of persons with mental illness to a state hospital. (b) A qualified entity that is a [The] community collaborative may receive a grant under the program only if the collaborative includes the county, a local mental health authority that operates in the county, and each hospital district located in the county. A community collaborative may include other local entities designated by the collaborative's members. (c) Not later than the 30th day of each fiscal year, the commission shall make available to the qualified entity [community collaborative] established in the county described by Subsection (a-1) [(a)] a grant in an amount equal to the lesser of: (1) the amount appropriated to the commission for that fiscal year for a mental health jail diversion pilot program in that county; or (2) the entity's [collaborative's] available matching funds. (d) The commission shall condition a grant provided to the qualified entity [community collaborative] under this section on the entity [collaborative] providing funds from non-state sources in a total amount at least equal to the grant amount. (e) To raise the required non-state sourced funds, the qualified entity [collaborative] may seek and receive gifts, grants, or donations from any person. (g) Not later than the 90th day after the last day of the state fiscal year for which the commission distributes a grant under this section, the qualified entity [community collaborative] shall prepare and submit a report describing the effect of the grant money and matching funds in fulfilling the purpose described by Subsection (a-1) [(a)]. (h) The commission may make inspections of the operation and provision of mental health services provided by the qualified entity [community collaborative] to ensure state money appropriated for the grant program is used effectively. SECTION 3. This Act takes effect September 1, 2023.