(a) Notwithstanding any inconsistent provision of this article, local governments may be granted state aid, subject to appropriations made therefor, for up to one hundred percent of the net operating costs incurred during the local fiscal year by such local governments, or by voluntary agencies pursuant to contract with such local governments, for the operation of comprehensive psychiatric emergency programs licensed by the commissioner of mental health.
(b) The commissioner of mental health may, subject to the approval of the director of the budget, directly contract with general hospitals licensed pursuant to article twenty-eight of the public health law, to reimburse approved operating and capital costs of comprehensive psychiatric emergency programs operated by such general hospitals. Before entering into a direct contract with a general hospital, the commissioner shall notify each local governmental unit located within the program's catchment area and give the director of the local governmental unit an opportunity to appeal the need for such direct contract. Such appeals shall be informal in nature and the rules of evidence shall not apply. * NB Repealed July 1, 2020