Section 32. Children in the care or custody of the department shall be placed in private families; provided, that any child who upon examination is found to be in need of special care, treatment or education may, if it is found by the department to be in the best interest of the child, be placed in a public or private institution or school, the primary purpose of which is the special care, treatment or education of children. The reasons for the placement of any such child shall be entered in the records of the department.

The department shall insure that every foster child upon entry into the foster care system shall be screened and evaluated under the early and periodic screening, diagnostic and treatment standards established by Title XIX of the Social Security Act, unless the child has been screened and evaluated within 30 days prior to his entry into the system.

A medically needy child who is in foster care, whether specialized or other type of care as provided by the department or its agents, may not be placed in another foster home or other placement without an individualized health care plan that is unique to the child's health care needs; provided, however, that in an emergency due to abuse or neglect, the child may be removed without a plan. The plan shall include, but not be limited to: a description of the specific health care needs of the child and specific treatment and services necessary to meet those needs; identification of health care agencies or personnel or other professionals who may conduct transitional training on the child's health care needs for the subsequent foster parents or other placement or the family to whom the child will return. The department shall also provide to the subsequent foster parents or other placement or to the family to whom the child will return information on health care resources available and health care and other personnel whose services are required by the child.