According to the National Alliance on Mental Illness (NAMI), there has been a dramatic increase in the number of citizens seeking state-funded mental health services as a result of the nation’s economic crisis. Today, even those states who have worked hard to improve their mental health systems stand to see their progress diminished as budget shortfalls mean cuts to mental health services. Texas has not been spared. Presently it is estimated that more than 20,000 people in our great state will lose care under the proposed Department of State Health Services (DSHS) budget cuts. Mental health advocates and officials with the criminal justice system are concerned that the consequences of an insufficiently funded public service system for the mentally ill in Texas include economic loss, homelessness, increased involvement in the juvenile and adult criminal justice system, and an estimated 25-year decrease in life expectancy.

Mental disorders are common in the United States. According to the National Institute of Mental Health (NIMH), an estimated 26.2 percent -- about one in four adults -- suffer from a diagnosable mental disorder in a given year.  Though mental disorders are widespread in the population, about 6 percent--1 in 17-- suffer from a serious mental illness. In addition, mental disorders are the leading cause of disability in the U.S. and Canada for ages 15-44. Many people suffer from more than one mental disorder at a given time. Nearly half, 45 percent, of those with any mental disorder meet criteria for 2 or more disorders.

The prevalence of persons with mental illness in the state of Texas is estimated at 832,795 according to NAMI. The organization also reports that Texas has a history of under-funded mental healthcare. In the past 20 years, Texas has never ranked higher than 43rd in per capita funding of mental health services in the 50 states and District of Columbia. In comparison with other states, it currently ranks 49th in mental health expenditures per capita. The status of Texas’ mental health care system has taken a downturn and faces a multitude of challenges. Grading the States is a state by state assessment of our nation’s mental health system.   In 2006, Texas received a C grade. In 2009 the state’s grade dropped to a D. According to the report, two urgent needs for Texas are funding and inpatient beds. The proposed budget cuts will have drastic implications for both. 

DSHS administers mental health services through contracts with 39 Local Mental Health Authorities (LMHAs) and NorthSTAR, the state’s Medicaid managed care plan. A proposed cut of $80 million to these community health centers would eliminate low-cost psychiatric services for 11,000 adults and 2000 children who are poor or uninsured. Another $44 million will be cut from five state psychiatric hospitals. Austin, Terrell, San Antonio, Rusk and Wichita Falls would eliminate 183 beds, equating to 12 percent of their total capacity. A reduction of $10 million is proposed for psychiatric crises services eliminating care to 6000 people. Employees will be laid off and excess of 600 jobs will be lost.