Directs the Department of Health and Human Services, Division of Mental Health, Developmental Disabilities, and Substance Abuse Services (Division), and local management entities/managed care organizations (LME/MCOs) responsible for New Hanover County to establish a two-year pilot program in New Hanover County to focus on assessing and navigating individuals to appropriate community-based mental health or substance-abuse services and resources to reduce utilization of hospital emergency department services for those purposes.

Provides for the location of the pilot program, and creates a three-person centralized team to operate the program.

Directs the LME/MCO for New Hanover to report to the Division and the Fiscal Research Division on the effectiveness of the pilot program by July 1, 2018, and again by July 1, 2019. Directs the Division to report to the Joint Legislative Oversight Committee on Health and Human Services and the Fiscal Research Division on the effectiveness of the program, along with recommendations for sustaining or expanding it, by October 1, 2019.

Appropriates $250,000 each for 2017-18 and 2018-19 from the General Fund to the Division to fund the program described above.

Effective July 1, 2017.