(1) Services of the program may only be provided by or through a provider that:

(a) is enrolled with the department as a Medicaid provider or, if not an enrolled Medicaid provider, is under contract with a Medicaid provider that the department is contracting with for home and community-based case management services and that the department has authorized to reimburse non-Medicaid providers;

(b) meets all the requirements necessary for the receipt of Medicaid monies;

(c) has been determined by the department to be qualified to provide services to adults with severe disabling mental illness;

(d) is a legal entity;

(e) is appropriately insured as determined by the department; and

(f) meets all facility and other licensing requirements applicable to the services offered, the service settings provided, and the professionals employed.

(2) A recipient's immediate family members may not provide services to the recipient as a reimbursed provider or as an employee of a reimbursed provider. Immediate family members include a spouse or legal guardian.

(3) A provider may also provide support to other family members in the recipient's household during hours of program reimbursed service if approved by the case management team.