S.F. No. 564 establishes a grant program for mental health innovation.

Section 1, subdivision 1 (245.4662) defines terms.

Subdivision 2 requires the commissioner to award grants to eligible applicants to plan, establish, or operated programs to improve accessibility and quality of community-based, outpatient mental health services.

Subdivision 3 requires the applicant to submit an application by October 31, 2017, and by October 31 thereafter. This subdivision specifies what the application must contain.  In determining whether applicants receive grants, the commissioner shall give preference to applications with the four factors listed in paragraph (d).

Subdivision 4 requires the commissioner to notify grantees by December 15, and disperse grants by January 1.

Sections 2 and 3 (246.18, subds. 4 and 4a) require revenue from collection efforts from the Anoka-Metro Regional Treatment Center and community behavioral health hospitals must be deposited, beginning July 1, 2018, in the mental health innovation account in the special revenue fund.   Money deposited in this account must be disbursed for the purposes of the mental health innovation grant program under section 1.

Section 4 appropriates $10,000,000 from the general fund for the grant program under section 1.