(a)      The Department shall provide for care, diagnosis, training, education, and rehabilitation of children by placing them in group homes and institutions that are operated by any nonprofit or for-profit entity.

      (b)      (1)      The Department shall reimburse these entities for the cost of these services at appropriate monthly rates that the Department determines, as provided in the State budget.

            (2)      The reimbursement rate may differ between homes and institutions that provide intermediate services, as defined by the Department, and homes and institutions that provide full services.

      (c)      The Department may not place a child in a group home or other residential facility that is not operating in compliance with applicable State licensing laws.