CHAPTER 2. COMMUNITY MENTAL HEALTH CENTERS
IC 12-29-2
Chapter 2. Community Mental Health Centers
IC 12-29-2-1
Application of chapter
Sec. 1. This chapter applies only to the funding of a program of
services for individuals with a mental illness that is designated as a
community mental health center by the division of mental health and
addiction in the division's approval of the program.
As added by P.L.2-1992, SEC.23. Amended by P.L.215-2001,
SEC.79; P.L.99-2007, SEC.150.
IC 12-29-2-1.2
County financial assistance for community mental health centers;
purposes; appropriation
Sec. 1.2. (a) The county executive of a county may authorize the
furnishing of financial assistance for the purposes described in
subsection (b) to a community mental health center that is located or
will be located:
(1) in the county;
(2) anywhere in Indiana, if the community mental health center
is organized to provide services to at least two (2) counties,
including the county executive's county; or
(3) in an adjacent state, if the center is organized to provide
services to Indiana residents, including residents in the county
executive's county.
If a community mental health center is organized to serve more than
one (1) county, upon request of the county executive, each county
fiscal body may appropriate money annually from the county's
general fund to provide financial assistance for the community
mental health center.
(b) Assistance authorized under this section shall be used for the
following purposes:
(1) Constructing a community mental health center.
(2) Operating a community mental health center.
(c) The appropriation from a county authorized under subsection
(a) may not exceed the product of the amount determined under
section 2(b)(2) of this chapter for that year multiplied by one and five
hundred four thousandths (1.504).
(d) For purposes of this subsection, "first calendar year" refers to
the first calendar year after 2008 in which the county imposes an ad
valorem property tax levy for the county general fund to provide
financial assistance under this chapter. If a county did not provide
financial assistance under this chapter in 2008, the county, for a
following calendar year:
(1) may propose a financial assistance budget; and
(2) shall refer its proposed financial assistance budget for the
first calendar year to the department of local government
finance before the tax levy is advertised.
The ad valorem property tax levy to fund the budget for the first
calendar year is subject to review and approval under
IC 6-1.1-18.5-10.
As added by P.L.78-2004, SEC.15. Amended by P.L.182-2009(ss),
SEC.300.
IC 12-29-2-2
Funding of operation; amount of funding; calculation
Sec. 2. (a) A county shall fund the operation of community mental
health centers in the amount determined under subsection (b), unless
a lower tax levy amount will be adequate to fulfill the county's
financial obligations under this chapter in any of the following
situations:
(1) If the total population of the county is served by one (1)
center.
(2) If the total population of the county is served by more than
one (1) center.
(3) If the partial population of the county is served by one (1)
center.
(4) If the partial population of the county is served by more than
one (1) center.
(b) The amount of funding under subsection (a) for taxes first due
and payable in a calendar year is the following:
(1) For 2004, the amount is the amount determined under STEP
THREE of the following formula:
STEP ONE: Determine the amount that was levied within
the county to comply with this section from property taxes
first due and payable in 2002.
STEP TWO: Multiply the STEP ONE result by the county's
assessed value growth quotient for the ensuing year 2003, as
determined under IC 6-1.1-18.5-2.
STEP THREE: Multiply the STEP TWO result by the
county's assessed value growth quotient for the ensuing year
2004, as determined under IC 6-1.1-18.5-2.
(2) Except as provided in subsection (c), for 2005 and each year
thereafter, the result equal to:
(A) the amount that was levied in the county to comply with
this section from property taxes first due and payable in the
calendar year immediately preceding the ensuing calendar
year; multiplied by
(B) the county's assessed value growth quotient for the
ensuing calendar year, as determined under IC 6-1.1-18.5-2.
(c) This subsection applies only to property taxes first due and
payable after December 31, 2007. This subsection applies only to a
county for which a county adjusted gross income tax rate is first
imposed or is increased in a particular year under IC 6-3.5-1.1-24 or
a county option income tax rate is first imposed or is increased in a
particular year under IC 6-3.5-6-30. Notwithstanding any provision
in this section or any other section of this chapter, for a county
subject to this subsection, the county's maximum property tax levy
under this section to fund the operation of community mental health
centers for the ensuing calendar year is equal to the county's
maximum property tax levy to fund the operation of community
mental health centers for the current calendar year.
(d) Except as provided in subsection (h), the county shall pay to
the division of mental health and addiction the part of the funding
determined under subsection (b) that is appropriated solely for
funding the operations of a community health center. The funding
required under this section for operations of a community health
center shall be paid by the county to the division of mental health and
addiction. These funds shall be used solely for satisfying the
non-federal share of medical assistance payments to community
mental health centers serving the county for:
(1) allowable administrative services; and
(2) community mental health rehabilitation services.
All other funding appropriated for the purposes allowed under
section 1.2(b)(1) of this chapter shall be paid by the county directly
to the community mental health center semiannually at the times that
the payments are made under subsection (e).
(e) The county shall appropriate and disburse the funds for
operations semiannually not later than December 1 and June 1 in an
amount equal to the amount determined under subsection (b) and
requested in writing by the division of mental health and addiction.
The total funding amount paid to the division of mental health and
addiction for a county for each calendar year may not exceed the
amount that is calculated in subsection (b) and set forth in writing by
the division of mental health and addiction for the county. Funds
paid to the division of mental health and addiction by the county
shall be submitted by the county in a timely manner after receiving
the written request from the division of mental health and addiction,
to ensure current year compliance with the community mental health
rehabilitation program and any administrative requirements of the
program.
(f) The division of mental health and addiction shall ensure that
the non-federal share of funding received from a county under this
program is applied only for matching federal funds for the designated
community mental health centers to the extent a center is eligible to
receive county funding under IC 12-21-2-3(a)(5)(E).
(g) The division of mental health and addiction:
(1) shall first apply state funding to a community mental health
center's non-federal share of funding under this program; and
(2) may next apply county funding received under IC 12-29-2-2
to any remaining non-federal share of funding for the
community mental health center.
The division shall distribute any excess state funds that exceed the
community mental health rehabilitation services non-federal share
applied to a community mental health center that is entitled to the
excess state funds.
(h) The health and hospital corporation of Marion County created
by IC 16-22-8-6 may make payments to the division for the operation
of a community mental health center as described in this chapter.
As added by P.L.2-1992, SEC.23. Amended by P.L.17-1995, SEC.12;
P.L.6-1997, SEC.152; P.L.90-2002, SEC.366; P.L.170-2002,
SEC.84; P.L.1-2004, SEC.54 and P.L.23-2004, SEC.56;
P.L.78-2004, SEC.16; P.L.224-2007, SEC.102; P.L.123-2008,
SEC.3.
IC 12-29-2-3
Total or partial population of county served by one center;
maximum appropriation; determination
Sec. 3. In situations described in section 2(a)(1) or 2(a)(3) of this
chapter, the county's maximum appropriation for part of the total
operating budget of the center is determined as follows:
STEP ONE: Divide the total county population by the
population of the county residing in the primary service area of
the community mental health center that is certified by the
division of mental health and addiction to serve the county.
STEP TWO: Multiply the amount determined in STEP ONE by
the total operating budget of the center after the operating
budget of the center is reduced by the following anticipated
amounts:
(A) Gifts, except bequests.
(B) Merchandise.
(C) Fees.
(D) Federal grants for direct service, except research and
demonstration grants.
As added by P.L.2-1992, SEC.23. Amended by P.L.79-2002, SEC.2.
IC 12-29-2-4
Total or partial population of county served by more than one
center; maximum appropriation; allotment to each center;
determination
Sec. 4. (a) Except as provided in subsection (b), in situations
described in section 2(a)(2) or 2(a)(4) of this chapter, the county's
maximum appropriation for part of the total operating budget of the
centers is determined in the same manner as in situations described
in section 2(a)(1) or 2(a)(3) of this chapter.
(b) The amount derived from the calculation under subsection (a)
represents the combined maximum appropriation to all centers
serving the particular county. Except for a county containing a
consolidated city, the allotment to each center shall be determined in
the following manner:
(1) To determine the allotment to each center serving the total
population of the county under the situation described in section
2(a)(2) of this chapter, the amount actually appropriated shall
be apportioned according to the proportion of the county's
population residing in the primary service area of each center,
which is certified by the division of mental health and addiction
to serve the county, to the total population of the county.
(2) To determine the allotment to each center in the situation
described in section 2(a)(4) of this chapter, the amount actually
appropriated shall be apportioned according to the proportion
of the county's population residing in the primary service area
of each center, which is certified by the division of mental
health and addiction to serve the county, to the population of
the county served by all centers.
As added by P.L.2-1992, SEC.23. Amended by P.L.79-2002, SEC.3.
IC 12-29-2-5
Maximum appropriation determined as county's absolute
proportional share of each center's budget; calculations
Sec. 5. (a) The maximum appropriation determined under section
3 or 4 of this chapter represents the county's absolute proportional
share of each center's total operating budget.
(b) If the proportional share is less than the amount of property
taxes raised under the tax rate required under section 2 of this
chapter, the county shall appropriate only the maximum
appropriation amount.
(c) If the proportional share is more than the amount of property
taxes raised under the tax rate required under section 2 of this
chapter, the county:
(1) shall appropriate that amount; and
(2) may appropriate an additional amount up to an amount that
would equal the amount of property taxes raised by a tax rate of
three and one-third cents ($0.03 1/3).
As added by P.L.2-1992, SEC.23. Amended by P.L.40-1994, SEC.63;
P.L.1-2004, SEC.55 and P.L.23-2004, SEC.57.
IC 12-29-2-6
Repealed
(Repealed by P.L.78-2004, SEC.25.)
IC 12-29-2-7
Appropriation
Sec. 7. The county fiscal body shall appropriate and approve the
money necessary to carry out this chapter.
As added by P.L.2-1992, SEC.23.
IC 12-29-2-8
Repealed
(Repealed by P.L.37-1998, SEC.1.)
IC 12-29-2-9
Repealed
(Repealed by P.L.37-1998, SEC.1.)
IC 12-29-2-10
Repealed
(Repealed by P.L.37-1998, SEC.1.)
IC 12-29-2-11
Repealed
(Repealed by P.L.37-1998, SEC.1.)
IC 12-29-2-12
Repealed
(Repealed by P.L.37-1998, SEC.1.)
IC 12-29-2-13
Lake County; additional funding of centers; property tax levy
increase; requirements
Sec. 13. (a) This section applies to Lake County.
(b) In addition to any other appropriation under this article, the
county annually may fund each center serving the county from the
county's general fund in an amount not exceeding the following:
(1) For 2004, the product of the amount determined under
section 2(b)(1) of this chapter multiplied by seven hundred
fifty-two thousandths (0.752).
(2) For 2005 and each year thereafter, the product of the amount
determined under section 2(b)(2) of this chapter for that year
multiplied by seven hundred fifty-two thousandths (0.752).
(c) The receipts from the tax levied under this section shall be
used for the leasing, purchasing, constructing, or operating of
community residential facilities for individuals with a mental illness
(as defined in IC 12-7-2-167).
(d) Money appropriated under this section must be:
(1) budgeted under IC 6-1.1-17; and
(2) included in the center's budget submitted to the division of
mental health and addiction.
(e) Permission for a levy increase in excess of the levy limitations
may be ordered under IC 6-1.1-18.5-15 only if the levy increase is
approved by the division of mental health and addiction for a
community mental health center.
As added by P.L.2-1992, SEC.23. Amended by P.L.40-1994, SEC.64;
P.L.6-1995, SEC.36; P.L.6-1997, SEC.153; P.L.215-2001, SEC.80;
P.L.78-2004, SEC.17; P.L.99-2007, SEC.151.
IC 12-29-2-14
Operation by uncertified entity; investigations; penalties
Sec. 14. (a) An entity may not:
(1) hold itself out to be a community mental health center; or
(2) use the term "community mental health center";
unless the entity is certified by the division of mental health and
addiction.
(b) The division of mental health and addiction shall investigate
a report that an entity is operating as a community mental health
center without the approval of the division of mental health and
addiction and report the division's findings to the attorney general.
(c) Upon receiving a report made under subsection (b), the
attorney general may do the following:
(1) Seek the issuance of a search warrant to assist in the
investigation.
(2) File an action for injunctive relief to stop the operation of
the entity that is the subject of the report if there is reasonable
cause to believe that the entity is operating without the required
approval of the division of mental health and addiction.
(3) File an action for injunctive relief to stop the entity that is
the subject of the report from using the term "community
mental health center".
(4) Seek in a civil action a civil penalty of not more than one
hundred dollars ($100) a day for each day an entity is operating
without the required approval of the division of mental health
and addiction.
(d) An opportunity for an informal meeting with the division of
mental health and addiction must be provided after the injunctive
relief is ordered.
(e) The civil penalties collected under this section must be
deposited in the mental health centers fund (IC 6-7-1-32.1).
As added by P.L.111-1997, SEC.6. Amended by P.L.215-2001,
SEC.81.
IC 12-29-2-15
County fiscal body member of the board
Sec. 15. (a) A community mental health center that:
(1) is certified by the division of mental health and addiction;
and
(2) is not administered by a hospital licensed under IC 16-21-2;
shall include a member of a county fiscal body, or a county fiscal
body's designee, on the center's governing board. The member shall
be selected by the county fiscal body of the county where the
community mental health center maintains its corporate mailing
address. The county fiscal body representative must reside in one (1)
of the counties in the community mental health center's primary
service area.
(b) A community mental health center that:
(1) is certified by the division of mental health and addiction;
and
(2) is administered by a hospital licensed under IC 16-21-2;
shall include a member of a county fiscal body, or a county fiscal
body's designee, on the center's advisory board. The member shall be
selected by the county fiscal body of the county where the
community mental health center maintains its corporate mailing
address. The county fiscal body representative must reside in one (1)
of the counties in the community mental health center's primary
service area.
As added by P.L.79-2002, SEC.4. Amended by P.L.123-2008, SEC.4.
IC 12-29-2-16
Annual report to county fiscal body
Sec. 16. A community mental health center that is certified by the
division of mental health and addiction shall provide an annual report
to the fiscal body of each county located in the community mental
health center's primary service area.
As added by P.L.79-2002, SEC.5. Amended by P.L.123-2008, SEC.5.
IC 12-29-2-17
Issuing county bonds for construction, equipment, or improvement
Sec. 17. (a) Bonds of a county may be issued for the construction
and equipment or the improvement of a building to house a
community mental health center.
(b) If services are provided to at least two (2) counties:
(1) bonds of the counties involved may be issued to pay the
proportionate cost of the project in the proportion determined
and agreed upon by the fiscal bodies of the counties involved;
or
(2) bonds of one (1) county may be issued and the remaining
counties may annually appropriate to the county issuing the
bonds amounts to be applied to the payment of the bonds and
interest on the bonds in the proportion agreed upon by the
county fiscal bodies of the counties involved.
As added by P.L.78-2004, SEC.18.
IC 12-29-2-18
Application of all general statutes relating to issuance of bonds
Sec. 18. All general Indiana statutes relating to the following
apply to the issuance of county bonds under this chapter:
(1) The filing of a petition requesting the issuance of bonds.
(2) The giving of notice of the following:
(A) The filing of the petition requesting the issuance of the
bonds.
(B) The determination to issue bonds.
(C) A hearing on the appropriation of the proceeds of the
bonds.
(3) The right of taxpayers to appear and be heard on the
proposed appropriation.
(4) The approval of the appropriation by the department of local
government finance.
(5) The right of:
(A) taxpayers and voters to remonstrate against the issuance
of bonds in the case of a proposed bond issue described by
IC 6-1.1-20-3.1(a); or
(B) voters to vote on the issuance of bonds in the case of a
proposed bond issue described by IC 6-1.1-20-3.5(a).
As added by P.L.78-2004, SEC.19. Amended by P.L.219-2007,
SEC.97; P.L.146-2008, SEC.420.
IC 12-29-2-19
County property of building if bond issued; nonapplication of tax
limitations
Sec. 19. If bonds are issued under this chapter:
(1) the building that is constructed, equipped, or improved with
proceeds of the bonds is:
(A) the property of the county issuing the bonds; or
(B) the joint property of the counties involved if the bonds
are issued by at least two (2) counties; and
(2) the tax limitations in this chapter do not apply to the levy of
taxes to pay the bonds and the interest on the bonds.
As added by P.L.78-2004, SEC.20.
IC 12-29-2-20
Certification by county auditor; county payments; certification of
federal financial participation eligibility
Sec. 20. (a) The county payment for operations of a community
mental health center shall be paid by the county treasurer to the
division as described in section 2 of this chapter.
(b) To the extent that money is appropriated by a county for
purposes allowed under section 1.2(b)(1) of this chapter or is no
longer required or requested for programs under section 2 of this
chapter, on the first Monday in October, the county auditor shall
certify to:
(1) the division of mental health and addiction, for a community
mental health center; and
(2) the president of the board of directors of each community
mental health center;
the amount of money that will be provided to the community mental
health center under this chapter.
(c) The county payment to the community mental health center
shall be paid by the county treasurer to the treasurer of each
community mental health center's board of directors in the following
manner:
(1) One-half (1/2) of the county payment to the community
mental health center shall be made on the second Monday in
July.
(2) One-half (1/2) of the county payment to the community
mental health center shall be made on the second Monday in
December.
(d) A county making a payment under this section or from other
county sources to a community mental health center that qualifies as
a community mental health center disproportionate share provider
under IC 12-15-16-1 shall certify that the payment represents
expenditures eligible for financial participation under 42 U.S.C.
1396b(w)(6)(A) and 42 CFR 433.51. The office shall assist a county
in making this certification.
(e) Payments by the county fiscal body:
(1) must be in the amounts:
(A) determined by sections 2 through 5 of this chapter; and
(B) authorized by sections 1.2 and 13 of this chapter; and
(2) are in place of grants from agencies supported within the
county solely by county tax money.
As added by P.L.78-2004, SEC.21. Amended by P.L.123-2008,
SEC.6.