House Concurrent Resolution No. by Representative Egan directs the Louisiana Department of Health to assess the current standards for psychiatric hospitals and residential substance abuse facilities. The resolution emphasizes the need for improved health outcomes and increased accountability in these facilities, particularly in light of the rising number of Louisiana residents facing mental health and substance abuse issues. The Department is tasked with evaluating existing standards and making recommendations for new or revised standards, which should be submitted to the House and Senate committees on health and welfare by March 31, 2025.

Additionally, the resolution encourages the Department to explore potential value-based financial incentives for Medicaid-enrolled psychiatric hospitals that meet or exceed quality of care criteria. The report should include data and recommendations regarding these incentives, and the Department may consult with various healthcare organizations to aid in its evaluation. Notably, an amendment was made to exclude residential substance abuse facilities from the requirement to explore these financial incentives.