The bill proposes the creation of a new section in chapter 50-24.1 of the North Dakota Century Code, focusing on the reimbursement process for psychiatric residential treatment facilities under medical assistance. It mandates the Department of Health and Human Services to amend existing rules to include direct care costs, which encompass expenses related to clinical supervisors, medical directors, family engagement in care, therapeutic leave days, and a cap on administrative costs. Notably, the reimbursement for therapeutic leave days is capped at five hundred dollars per day, and the department is required to implement utilization controls, including service authorization for these leave days.

Additionally, the bill requires the Department of Health and Human Services to submit a report to the legislative management by October 1, 2026, detailing the changes made to the reimbursement process and progress towards value-based care. To support these initiatives, the bill appropriates a total of $1,307,174 from the general fund and other federal and special funds for the biennium beginning July 1, 2025, and ending June 30, 2027, specifically for the reimbursement of psychiatric residential treatment facilities.