122C-125. Area Authority financial failure; State assumption of financial control.
At any time that the Secretary of the Department of Health and Human Services determines that an area authority is in imminent danger of failing financially and of failing to provide direct services to clients, the Secretary, after providing written notification of the Secretary's intent to the area board and after providing the area authority an opportunity to be heard, may assume control of the financial affairs of the area authority and appoint an administrator to exercise the powers assumed. This assumption of control shall have the effect of divesting the area authority of its powers as to the adoption of budgets, expenditures of money, and all other financial powers conferred in the area authority by law. County funding of the area authority shall continue when the State has assumed control of the financial affairs of the area authority. At no time after the State has assumed this control shall a county withdraw funds previously obligated or appropriated to the area authority. The Secretary shall adopt rules to define imminent danger of failing financially and of failing to provide direct services to clients.
Upon assumption of financial control, the Department shall, in conjunction with the area authority, develop and implement a corrective plan of action and provide notification to the area authority's board of directors of the plan. The Department shall also keep the county board of commissioners and the area authority's board of directors informed of any ongoing concerns or problems with the area authority's finances. (1995, c. 507, s. 23.2; 1995 (Reg. Sess., 1996), c. 749, s. 7; 1997-443, s. 11A.118(a).)
Structure North Carolina General Statutes
North Carolina General Statutes
Chapter 122C - Mental Health, Developmental Disabilities, and Substance Abuse Act of 1985
§ 122C-112.1 - (Effective until contingency met see note) Powers and duties of the Secretary.
§ 122C-113 - Cooperation between Secretary and other agencies[Effective until January 1, 2023]
§ 122C-114 - Powers and duties of the Commission.
§ 122C-115 - Duties of counties; appropriation and allocation of funds by counties and cities.
§ 122C-115.2 - LME business plan required; content, process, certification.
§ 122C-115.3 - Dissolution of area authority.
§ 122C-115.4 - Functions of local management entities[Effective until January 1, 2023]
§ 122C-116 - Status of area authority; status of consolidated human services agency.
§ 122C-117 - Powers and duties of the area authority[Effective until January 1, 2023]
§ 122C-118.1 - Structure of area board.
§ 122C-118.2 - Establishment of county commissioner advisory board.
§ 122C-119 - Organization of area board.
§ 122C-119.1 - Area Authority board members' training.
§ 122C-120 - Compensation of area board members.
§ 122C-120.1 - Job classifications; director and finance officer.
§ 122C-123 - Other agency responsibility.
§ 122C-123.1 - Area authority reimbursement to State for disallowed expenditures.
§ 122C-125 - Area Authority financial failure; State assumption of financial control.
§ 122C-126.1 - Confidentiality of competitive health care information.
§ 122C-127 - Consolidated human services board; human services director.
§ 122C-131 - Composition of system.
§ 122C-141 - Provision of services.
§ 122C-142 - Contract for services.
§ 122C-142.2 - Presentation at a hospital for mental health treatment.
§ 122C-143.1 - Policy guidance.
§ 122C-144.1 - Budget format and reports.
§ 122C-145 - Renumbered as G.S122C-151.2 by Session Laws 1993, c321, s220.
§ 122C-146 - Uniform co-payment schedule.
§ 122C-147 - Financing and title of area authority property.
§ 122C-147.1 - Appropriations and allocations.
§ 122C-147.2 - Purchase of services and reimbursement rates.
§ 122C-151 - Responsibilities of those receiving appropriations.
§ 122C-151.2 - Appeal by area authorities and county programs.
§ 122C-151.3 - Dispute with area authorities or county programs.
§ 122C-151.4 - Appeal to State MH/DD/SA Appeals Panel.
§ 122C-153 - Defense of agents, employees, and board members.
§ 122C-155 - Supervision of services.
§ 122C-156 - Salary plan for employees of the area authority.
§ 122C-157 - Establishment of a professional reimbursement policy.
§ 122C-158 - Privacy of personnel records.
§ 122C-170 - Local Consumer and Family Advisory Committees.
§ 122C-171 - State Consumer and Family Advisory Committee.
§ 122C-181 - Secretary's jurisdiction over State facilities.
§ 122C-182 - Authority to contract with area authorities.
§ 122C-183 - Appointment of employees as police officers who may arrest without warrant.
§ 122C-184 - Oath of special police officers.
§ 122C-185 - Application of funds belonging to State facilities.
§ 122C-186 - General Assembly visitors of State facilities.