(a) The department shall develop and submit an application to solicit a grant authorized under Section 9007 of the federal 21st Century Cures Act (42 U.S.C. Sec. 290bb-37) to develop a community-based crisis response plan. To the extent consistent with federal grant application requirements, the grant application shall include, at a minimum, a plan for all of the following:

1. (1) Promoting integration and coordination between local public and private entities engaged in crisis response, including first responders, emergency health care providers, primary care providers, law enforcement, court systems, health care payers, social service providers, and behavioral health providers.
2. (2) Developing memoranda of understanding with public and private entities to implement crisis response services.
3. (3) Addressing gaps in community resources for crisis intervention and prevention.
4. (4) Developing models for minimizing hospital emergency department utilization and readmissions, including through appropriate discharge planning.

(c) If the department receives a grant under Section 9007 of the federal 21st Century Cures Act (42 U.S.C. Sec. 290bb-37), the department shall submit to the United States Secretary of Health and Human Services, at the time and in the manner, and containing the information, as the secretary may reasonably require, a report, including an evaluation of the effect of the grant on all of the following:

1. (1) Local crisis response services and measures for individuals receiving crisis planning and early intervention supports.
2. (2) Individuals reporting improved functional outcomes.
3. (3) Individuals receiving regular followup care following a crisis.