NC S665

Establishes new enforcement procedures for unlicensed mental health facilities operating in violation of state law, requiring the Department of Health and Human Services to conduct follow-up visits to ensure compliance with licensing requirements or cessation of operations.

Increases penalties for operating a licensable mental health facility without a license from a Class 3 misdemeanor (maximum $50 first offense, $500 subsequent offenses) to a Class H felony with a fine of $1,000 per day of operation, effective December 1, 2021.

Expands provider enrollment restrictions by prohibiting Medicaid and NC Health Choice enrollment or license issuance to applicants with prior license revocations or multiple violations within specified time periods (ranging from 6 to 60 months depending on violation history).

Requires the Department to establish a public database containing information on unlicensed facility investigations, penalties imposed and collected, facility locations, and compliance actions.

Directs the Department to coordinate with the Department of Insurance to establish a toll-free number or website for verifying facility licensure status and to collaborate with organizations like NAMI on public awareness campaigns about licensed mental health care providers.