funding services and supports for the mentally ill in the community at large. It was recently greatly exacerbated by cuts to Medicaid funding under Bush and the previous Republican Congress. A large number of people with serious mental health problems are dependent upon Medicaid for their treatment. Cuts to medicaid have not helped a system that was already struggling to meet the needs of people with mental illness.
From a 2005 article:
“ Indiscriminate Medicaid cuts could have a crippling effect at the local level and absolutely devastate the tens of thousands of people with mental illnesses and their families who rely on Medicaid to access needed services,” Linda Rosenberg, spokeswoman for the Campaign for Mental Health Reform and President and CEO of the National Council for Community Behavioral Healthcare.
Medicaid is the single largest source of financing for mental health care and provides over half of state and local spending on mental health services. However, even with current federal support for Medicaid, one of every two Americans who need mental health treatment do not receive it, and the rate is even lower —and the quality of care poorer—for ethnic and racial minorities, according to the President’s Commission on Mental Health.
Without access to needed services, adults and children with mental illnesses face increased risk of school failure, unemployment, substance abuse, homelessness, arrest, incarceration, increased reliance on emergency facilities, and suicide. "Investing in services that enable individuals to improve and become or remain productive citizens saves resources in the long-term," said Bill Emmet, Director of the Campaign for Mental Health Reform.
http://www.mhreform.org/news/3-17-05housemedicaid.htm