Texas Has Increased Mental Health Care for 2012 But Not Enough to Undo Damage or Overcome Medicaid Crisis

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Nov 10, 2011, 09:30 ET

AUSTIN, Texas, Nov. 10, 2011 /PRNewswire-USNewswire/ -- Texas has increased spending on mental health care by $39.8 million—4.3 percent—from 2009 to 2012, according to a national report issued by the National Alliance on Mental Illness (NAMI).

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The amount does little to bring Texas in line with the average of other states on per capita mental health spending. Texas spent $38.38 per capita, the lowest rate in the nation; the national average of other states was $122.90 per capita.

Nationwide cuts in 2012 totaled $1.6 billion.

See the full report for state-by-state figures.

"We applaud the state legislature for funding crises services in previous sessions and for recognizing that cutting public mental health care is being penny wise and pound foolish," said Robin Peyson, NAMI Texas executive director. "It saves tax dollars and helps Texas families to pay up front for mental health care." However, she notes that Texas is now at the "bottom of the barrel."

"An additional health concern is recognition that Texas has the lowest insured rate in the country—26 percent of all Texans go without health insurance," Peyson said. "An added pressure is the population growth in our state."

The NAMI report outlines three Medicaid factors threatening mental health care.

Following the loss in June 2011 of "enhanced" federal matching funds under Medicaid that were part of economic stimulus legislation, Texas's budget was further squeezed by an estimated $851 million.
In order to receive more federal funds under the current Medicaid "match" formula, some states have begun to divert mental health dollars from general mental health services to Medicaid. In those states, the diversion won't affect people with mental illness who qualify for Medicaid, but there are some people with mental illness that do not qualify.
If the congressional Super Committee recommends cuts in Medicaid later this month, additional pressures will come into play. Proposals for cuts in Medicaid range from $75 billion to almost $200 billion.

"People in Texas need to contact members of Congress and state officials," Peyson said. "Budget numbers may not be fun to read, but people's lives literally hang in the balance."

About NAMI

NAMI is the nation's largest grassroots mental health organization dedicated to building better lives for millions of Americans affected by mental illness.

SOURCE National Alliance on Mental Illness