Rebecca Cook

       

 
Feb. 20, 2005

Thousands could lose mental health services

By REBECCA COOK
Associated Press Writer

OLYMPIA, Wash. (AP) _ Thousands of people across the state will lose mental health services on July 1, unless the state Legislature comes up with $82 million to restore federal Medicaid cuts.

Already, hundreds of mentally ill people have been turned away from community services. Experts say many of them will end up in jail, on the streets or in emergency rooms if they can't get help anywhere else.

"It's ultimately a life and death issue," said Rick Weaver, president of Central Washington Comprehensive Mental Health in Yakima. "These folks are very ill."

The state might not ride to their rescue. The Legislature and the governor are facing a $2.2 billion shortfall over the next two-year budget cycle. Even lawmakers sympathetic to the mentally ill say restoring the full $82 million is unlikely.

"I don't see the whole amount just because of the budget situation," said House Speaker Frank Chopp, D-Seattle. Still, he said, "We ought to provide a lifeline for these folks."

The federal cut will vaporize 20 percent of the state's community mental health budget.

For years, Washington state exploited an ambiguity in federal law that allowed the state to use the savings from its Medicaid managed care program to pay for non-Medicaid people and services.

Other states did the same, but Washington did it particularly well. Medicaid, the joint federal and state health program for poor children and adults, accounts for 89 percent of the state's community mental health budget. The national average is 38 percent.

A 1997 federal law says states can use Medicaid money only for Medicaid patients and services. The federal government let the states slide for a while, but cracked down last year.

"It's partially budget-driven, but it's also out of a commitment to more strictly adhering to what Congress intended," said Rod Haynes, spokesman for the Centers for Medicare and Medicaid Services' regional office in Seattle.

The federal cut will take effect in July. In the meantime, the state Legislature could provide extra money in the two-year budget to fill the hole. But mental health providers aren't counting on that.

Instead, most community programs are preparing for a bleak future by starting cuts now. Many aren't taking new, non-Medicaid clients unless they're in the throes of a crisis.

"We're having to turn away about 80 clients a month who are seeking outpatient services," said Jess Jamieson, president and CEO of Compass Health in Everett. The public mental health system in Washington is administered by 14 Regional Support Networks, which contract out services to local organizations such as Compass Health.

Last month, Compass Health closed a homeless drop-in center in Everett that offered mental health services and served about 500 people a year.

"We just didn't have enough dollars to keep that facility open," Jamieson said.

One-third of the people who use community mental health services are not on Medicaid - that's about 43,000 statewide. Most are poor, but don't qualify for Medicaid for other reasons. They don't have a lot of options for treating their mental illnesses.

"The places people go when they get cut off are the streets, the hospitals and the jails," said Cathy Gaylord, CEO of the Washington Community Mental Health Council.

Law enforcement officials have complained frequently to the Legislature that jails have become de facto state mental institutions. They're worried budget cuts will make things worse.

"It's left upon us to provide the treatment with no funding," said Karen Daniels, chief deputy for corrections with the Thurston County Sheriff's Office. About 30 percent of the Thurston County jail inmates suffer from some sort of mental illness, Daniels said.

Two jail employees work with mentally ill inmates, basically trying to get them stable so they don't wind up back in jail again. Daniels said those positions will go away unless the Legislature restores mental health funding.

One big problem is that inmates lose their Medicaid eligibility if they're in jail for more than 30 days, even if they're not ultimately convicted of any crime. They have to reapply for Medicaid when they get out of jail. That can take up to two months, and that's a long time for a sick person to go without treatment.

A bill before the Legislature now would allow the state to suspend Medicaid, rather than terminate it, for people in jail.

Sen. Jim Hargrove, D-Hoquiam, has taken the lead on mental health issues this year. He wants the Legislature to restore the $82 million Medicaid cut, but first he wants to reform the system so it works better.

"It's totally dysfunctional," Hargrove said of the current system. "It wastes piles of money, and I mean piles - like billions - because we don't provide a cohesive and coordinated system for mental health and alcohol and drug dependency."

Hargrove's bill would integrate those two treatment tracks - mental illness and chemical dependency - because they so often occur together. It would also streamline and consolidate the process for involuntary treatment; expand alcohol and drug treatment services; require the state to create and use a consistent screening process for mental illness and chemical dependency; and it allows counties to levy a local-option sales tax to pay for expanding treatment.

It's an ambitious bill and it will have a hefty price tag. Hargrove, however, is concentrating on the prospect of future savings.

"I'm not a trigger happy, tax-and-spend kind of person," said Hargrove, who hails from a conservative district in southwest Washington. But he said his past experience with reforming the juvenile justice system has shown that prevention pays off.

"If we can deliver the treatment they need in a timely fashions, not only is it better for them, it saves taxpayers hundreds of billions of dollars," Hargrove said.

 

       

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