22

1 equipment of a facility acquired, remodeled, leased, or con2 structed with financial assistance provided under payments 3 under this part. Payments shall not be made for the con4 struction of a new facility or the expansion of an existing one 5 unless the Secretary determines that it is not feasible for the 6 recipient to acquire or remodel an existing facility.

7

"(b) (1) For purposes of this part, the term 'Federal 8 share' with respect to any project means the portion of the cost of such project to be paid by the Federal Government. 10 under this part.

11

"(2) The Federal share with respect to any project in 12 the State shall be the amount determined by the appropriate 13 State agency designated in the State plan of the State under 14 section 223, but, except as provided in paragraph (3), the 15 Federal share for any project may not exceed 663 per centum 16 of the costs of such project or the State's Federal percentage, 17 whichever is the lower. Prior to the approval of the first 18 such project in the State during any fiscal year, such State 19 agency shall give the Secretary written notification of the 20 maximum Federal share established pursuant to this para21 graph for such projects in such State to be approved by the 22 Secretary during such fiscal year and the method for deter23 mining the actual Federal share to be paid with respect to 24 such projects; and such maximum Federal share and such 25 method of determination for such projects in such State ap

23

1 proved during such fiscal year shall not be changed after the

2 approval of the first such project in the State during such

3 fiscal year.

4

"(3) In the case of any community mental health center 5 which provides or will, upon completion of the project for 6 which application has been made under this part, provide 7 services for persons in an area designated by the Secretary as an urban or rural poverty area, the maximum Federal share 9 determined under paragraph (2) may not exceed 90 per 10 centum of the costs of the project.

11 “(4) (A) For purposes of paragraph (2), the Federal 12 percentage for any State shall be 100 per centum less that 13 percentage which bears the same ratio to 50 per centum as 14 the per capita income of such State bears to the per capita in15 come of the United States, except that the Federal per16 centage for Puerto Rico, Guam, American Samoa, and the 17 Virgin Islands shall be 66 per centum.

18

"(B) The Federal percentages shall be promulgated 19 by the Secretary between July 1 and September 30 of each 20 even-numbered year, on the basis of the average of the per 21 capita incomes of the States and of the United States for the 22 three most recent consecutive years for which satisfactory 23 data are available from the Department of Commerce. Such 24 promulgation shall be conclusive for each of the two fiscal years in the period beginning July 1 next succeeding such

25

24

1 promulgation; except that the Secretary shall promulgate 2 such percentages as soon as possible after the enactment of 3 this Act, which promulgation shall be conclusive for the fiscal 4 year ending June 30, 1965.

5

"(C) For purposes of this paragraph, the term 'United

6 States' means the fifty States and the District of Columbia.

7

8

"REGULATIONS

"SEC. 222. Regulations issued by the Secretary for the

9 administration of this part shall include provisions

"(1) prescribing the general manner in which the State agency of a State shall determine the priority of projects for facilities for community mental health centers on the basis of the relative need of the different areas of the State for such centers and requiring special consideration for projects on the basis of the extent to which a center to be assisted or established upon completion of a project (A) will, alone or in conjunction with other centers owned or operated by the applicant for the project or affiliated or associated with such applicant, provide comprehensive mental health services for residents of a particular community or communities, or (B) will be

part of or closely associated with a general hospital; and “(2) general standards for facilities and equipment for centers of different classes and in different types of location.

25

1 As used in paragraph (1), the term 'State agency' means 2 the State agency designated by a State in a State plan sub3 mitted under section 223. The Federal Hospital Council (es4 tablished by section 633 of the Public Health Service Act) 5 and the National Advisory Mental Health Council shall be 6 consulted by the Secretary before the issuance of regulations 7 for the administration of this part.

8

9

"STATE PLANS

"SEC. 223. (a) An allotment may not be made under 10 section 229 to a State unless the State has submitted to 11 the Secretary and had approved by him a State plan for 12 community mental health centers for the State, which plan— "(1) designates a single State agency as the sole agency for the administration of the plan, or designate such agency as the sole agency for supervising the administration of the plan;

13

14

15

16

"(2) contains satisfactory evidence that the State agency designated in accordance with paragraph (1) hereof will have authority to carry out such plan in conformity with this part;

"(3) provides for the designation of a State advisory council to consult with the State agency in carrying out such plan which council shall include (A) representatives of nongovernment organizations or groups, and of State agencies, concerned with planning, operation, or

26

utilization of community mental health centers or other mental health facilities, and (B) representatives of con

sumers of the services provided by such centers and fa

cilities who are familiar with the need for such services; "(4) emphasizes the provision of outpatient services by community mental health centers as a preferable alternative to inpatient hospital services;

"(5) sets forth a program for community mental health center facilities (A) which is based on a statewide inventory of existing facilities and a survey of need; (B) which conforms with regulations prescribed by the Secretary under section 222; (C) which shall provide for adequate community mental health centers to furnish needed services for persons unable to pay therefor; and (D) which shall provide services for the prevention and treatment of alcohol abuse, alcoholism, and other drug abuse and drug dependence problems.

"(6) sets forth the relative need, determined in accordance with the regulations prescribed under section 222, for the projects included in the program described

in paragraph (5), and provides for the completion of

such projects in the order of such relative need;

"(7) provides minimum standards (to be fixed in

the discretion of the State) for the maintenance and operation of centers which receive Federal aid under