County drops hospital lawsuit

Spokane County has withdrawn a $2.8 million lawsuit against the state for fining the county for overusing Eastern State Hospital.

The county contracts with the state to administer mental health care to about 5,000 people a month.

The state had been levying fines against mental health systems that broke limits it set for the number of beds that could be used in the state’s two psychiatric hospitals.

Spokane County sued the state in an attempt to be refunded the fines it paid for not meeting bed allocation requirements since 2003.

County commission Chairman Todd Mielke said the commission voted this week to stop the suit because the state decided to repay the county more than $1.7 million to compensate for the fines. Trying to recoup the rest of the money could take years, he said.

Spokane County hospitalizes more patients in state mental hospitals per capita than any other group that contracts with the state to administer mental services. County leaders argue that their high hospitalization numbers are the result of being home to Eastern State.