State marks $10 million for mental health in region

Spokane County’s troubled mental health system received a big boost this week from the state Legislature, which directed more than $10 million to Eastern Washington services.

Senate Majority Leader Lisa Brown pushed for increased funding for local programs, a state repayment of fines to Spokane County and an expanded ward at Eastern State Hospital in Medical Lake.

“It will really make the picture in Spokane look much better,” said Brown, a Spokane Democrat. “Still, the mental health system in general remains underfunded in our whole country.”

For months, Spokane County’s mental health system – which cares for some 10,000 people each year – has been in turmoil. Last year, the county made deep cuts to numerous programs after uncovering a $7.5 million budget shortfall. In December, the county system failed a statewide review, earning the second lowest score in the state.

Shift in responsibility

Even after the Legislature appropriated $80 million last year to cover services once provided by the federal government, mental health advocates remained worried this year.

Both King and Spokane counties argued that last year’s economic troubles threatened treatment for thousands of clients with mental illness who can’t afford private insurance.

In the past five years, much of the responsibility for funding public mental health has been shifted from the federal government to the states and counties.

This year, the Legislature responded with $11.2 million in money statewide, which comes with a federal match.

Of that, Spokane County will receive a $3.8 million funding increase. The county also will receive a $1.7 million repayment of state penalties. The Legislature set aside $5.2 million to open a new ward at Eastern State Hospital, which provides long-term psychiatric care in Eastern Washington.

“This is great news,” said Christine Barada, the county’s community services director. “It is better than we had hoped for in many ways.”

The budget, which has been sent to Gov. Chris Gregoire for approval, also includes $520,000 to settle a Spokane lawsuit that alleged low-income Medicaid patients were improperly removed from the state-federal health care program.

Fines canceled

The figures included the cancellation of nearly $300,000 in fees accrued this year after the county allegedly sent too many patients to Eastern State Hospital – part of a state plan to penalize counties for failing to treat consumers with outpatient care.

A state spokesman for the Mental Health Division declined to say whether the penalties – which have been successfully challenged by Pierce County in Superior Court – will cease.

“If they are saying, ‘We’re taking those damages off the table,’ then that would be a huge win for the community,” County Commissioner Mark Richard said. “I would be ecstatic.”

Instead of paying penalties, the county could use the money to “provide services to keep people from being hospitalized in the first place,” Richard said.

The county has set aside $100,000 a month to pay the fines – a significant amount given the recent cuts to services.

But the county system still has lingering problems. Because it failed the statewide review, county commissioners must now decide whether to merge with another region or to proceed in an open bid against private firms.

“The question is, do we feel like we can compete in the open market against private contractors?” Richard said. “We’re going to have to make that critical decision in the next week or two.”