Relating to the regulation of psychiatric residential treatment facilities and Medicaid reimbursement for the provision of treatment by those facilities; requiring an occupational license.

SB 1342 requires psychiatric residential treatment facilities (PRTFs) serving individuals aged 21 or younger to obtain a state license, replacing previous voluntary certification. The bill mandates that facilities must meet specific licensing standards set by the Texas Health and Safety Commission to operate and receive Medicaid reimbursement for services. It updates licensing procedures, including application fees and renewal requirements, and explicitly ties Medicaid payments to facility compliance with these new licensing rules. This directly affects PRTFs that provide residential psychiatric care and rely on Medicaid funding for their operations.