AK HB86

Prohibits the state from contracting for private ownership or management of an inpatient mental health treatment hospital; requires the state Department of Health and Social Services to directly manage such a facility.

Amends the State Procurement Code (AS 36.30.300 and AS 36.30.310) to exclude inpatient mental health treatment hospitals from competitive bidding and procurement requirements.

Defines "inpatient mental health treatment hospital" as a secure state inpatient psychiatric facility providing diagnostic, evaluation, and treatment services for mental illness under physician direction.

Restricts the department from delegating or contracting management duties for the inpatient mental health treatment hospital, while preserving its ability to contract for other mental health services and treatment facilities.

Takes effect immediately and applies retroactively to February 1, 2019 for any contracts entered into, amended, extended, or renewed on or after the effective date.