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Reorganization of state health agencies. Transfers the office of Medicaid policy and planning and the division of mental health and addiction from the office of the secretary of family and social services to the state department of health on January 1, 2006. Requires the governor to report to the legislative council regarding statutory changes needed to make this transfer. Requires the legislative services agency to prepare legislation for the 2006 regular session of the general assembly to change statutes affected by the transfer.