Funds appropriated to the department for the operation of the Montana state hospital may be used for carrying out the purposes of 53-21-403 if:
(1) Montana state hospital patients are transferred to a community-based nursing home or other community setting that results in lower expenditures than allowed by legislative appropriation; and
(2) a transfer of appropriations between programs is:
(a) made as provided in 17-7-139; and
(b) approved by the governor.