HF 1703 Summary

• Creates Department of Direct Care and Treatment as a new state department, effective July 1, 2024, with a governor-appointed commissioner responsible for direct care and treatment services including secure treatment facilities, regional treatment centers, and community-based services.

• Creates Office of Human Services Licensing and Integrity as an independent office responsible for licensing, background studies, and program integrity functions for all Department of Human Services programs, with a director appointed by the governor with Senate confirmation.

• Directs commissioners of Health and Human Services to contract with an independent third party by December 31, 2023 to administer all grant programs, with administration capped at a maximum of two percent of grant funds.

• Requires commissioner of Human Services to contract with a third party by December 31, 2023 to review all active information technology projects and report findings by December 31, 2024 regarding technical assessment, feasibility, funding adequacy, and recommendations.

• Implements performance-based budgeting for Department of Human Services and Department of Direct Care and Treatment, requiring both departments to submit detailed operating budgets with zero appropriation base for the next two bienniums, with each proposed expenditure justified as if new.