(1) The department, on the basis of the statewide planning and policy council's recommendations, shall prepare and maintain on a continuing basis a three-year plan for all mental health services and supports for the state, including services and supports provided or funded by private service providers of all kinds. The department shall revise the plan annually on the basis of its assessment of the public's need for mental health services and supports.
(2) The department shall base its annual budget request to the governor on that part of the three-year plan that the department proposes to be implemented with public funds during the budget year. The department shall report all service objectives and outcomes annually as a part of its three-year plan on which the budget is based.