Amend CSSB 358 as follows:
(1)  In Section 9 of the bill, added Section 533.0356, Health and
Safety Code, (Committee Printing, page 4, lines 23-37) strike
Subsections (b)-(d) and substitute the following:
      (b)  The department and the commission jointly may designate
a local behavioral health authority in a local service area to
provide mental health and chemical dependency services in that
area.  The board and the commission may delegate to an authority
designated under this section the authority and responsibility for
planning, policy development, coordination, resource allocation,
and resource development for and oversight of mental health and
chemical dependency services in that service area.  An authority
designated under this section has:
            (1)  all the responsibilities and duties of a local
mental health authority provided by Section 533.035 and by
Subchapter B, Chapter 534; and
            (2)  the responsibility and duty to ensure that
chemical dependency services are provided in the service area as
described by the statewide service delivery plan adopted under
Section 461.0124.
      (c)  In the planning and implementation of services, the
authority shall give proportionate priority to mental health
services and chemical dependency services that ensure that funds
purchasing services are utilized in accordance with specific
regulatory and statutory requirements that govern the respective
funds.
      (d)  A local mental health authority may apply to the
department and commission for designation as a local behavioral
health authority.
      (e)  The department and commission, by contract or by a
case-rate or capitated arrangement or another method of allocation,
may disburse money, including federal money, to a local behavioral
health authority for services.
      (f)  A local behavioral health authority, with the approval
of the department or the commission as provided by contract, shall
use money received under Subsection (d) to ensure mental health and
chemical dependency services are provided in the local service area
to the same level as the level of services previously provided
through:
            (1)  the local mental health authority; and
            (2)  the commission.
      (g)  In determining whether to designate a local behavioral
health authority for a service area and in determining the
functions of the authority if designated, the department and
commission shall solicit and consider written comments from any
interested person including community representatives, persons who
are consumers of the proposed services of the authority, and family
members of those consumers.
      (h)  An authority designated under this section shall
consider ultimate costs and benefits and client care issues to
ensure:
            (1)  consumer choices of services; and
            (2)  the best use of public money in:
                  (A)  assembling a network of service providers;
and
                  (B)  determining whether to become a provider of
a service or to contract that service to another organization.
      (i)  An authority designated under this section shall
demonstrate to the department and the commission that services
involving state funds that the authority provides directly or
through a subcontractor complies with relevant state standards.
      (j)  The board and the commission jointly may adopt rules to
govern the operations of local behavioral health authorities.  The
department and the commission jointly may assign the behavioral
health authority the duty of providing a single point of entry for
mental health and chemical dependency services.
(2)  Strike Section 17 of the bill (Committee Printing, page 6,
lines 40-59) and substitute the following:
      SECTION 17.  Chapter 461, Health and Safety Code, is amended
by adding Section 461.0129 to read as follows:
      Sec. 461.0129.  LOCAL BEHAVIORAL HEALTH AUTHORITIES.  The
commission may designate and provide services through local
behavioral health authorities as provided by Section 533.0356 and
rules adopted jointly with the Texas Board of Mental Health and
Mental Retardation.