MAJOR VICTORY FOR MENTAL HEALTH ADVOCATES

 

On June 30th Gov. James E. McGreevey signed a $28 billion budget for the fiscal year that began on July first. The adopted budget is a major victory for mental health advocates who rallied on the Statehouse steps en mass to boost spending for mental health treatment. First among the victories was a boost in the proposed cost of living adjustment (COLA) for community agencies from 1% to a 3.5% increase, a $28 million increase over the previous year. Advocates were successful in making the case that an adequate COLA was mandatory if provider agencies were to attract and retain qualified staff. The budget language leaves open the possibility that an addition half percent could be added to the COLA if further savings could be found from efficiencies at the Department of Human Services.

The adopted budget also eliminates the proposed co-pay for prescription drugs purchased by Medicaid recipients. The budget reflects $8.1 million in additional funding for these medications. In meeting with legislators and the Governor’s office NAMI NEW JERSEY had emphasized that co-pays would serve as a disincentive to consumers in need of medication and could lead to deterioration of their condition. This could result in increased hospitalizations and incarcerations, costing state taxpayers millions.

The budget leaves intact the Governor's proposed $7.4 increase for Redirection II, the final phase in the plan to build a new Greystone Hospital and to expand community programs. Of the new dollars, $3,375,000 is needed to annualize the FY 2004 programs. The remaining $4 million will be invested in new community programs. The budget contains language allowing for some of that money to be used as one-time funds, such as towards managing census problems within the state hospitals.

The Legislature has approved the state's child welfare reform plan and the $125 million in new funding requested for FY 2005. The reform plan includes hiring 1,500 new staff, which includes 1,000 direct care workers; separating abuse investigations from general casework; increasing payments to relatives who take in children; and expanding continuing improvement practices. It also includes additional money for child behavioral health services, which will now be delivered through the newly formed Division of Child Behavioral Health Services. Medicaid funding for Children's Behavioral Health Services-Residential will be $47,485,000.

In a move that will lead to better coordination of those dually diagnosed with a mental illness and a substance abuse problem the Division of Addiction Services (DAS) also officially moves from the Department of Health and Senior Services (DHSS) to DHS. The transfer includes Compulsive Gambling, Community-based Substance Abuse Treatment and Prevention, In-State Juvenile Residential Treatment, and Substance Abuse treatment for DYFS/WorkFirst Mothers.

NAMI NEW JERSEY members and the mental health community are to be congratulated for an unprecedented advocacy effort on this year’s state budget. It is clear that Trenton knows that we are a force that must be reckoned with.