Ottawa County, MI (WGHN) – (WGHN) – Ottawa County Board of Commissioners are moving forward with a plan to restructure the county’s Community Mental Health department in an effort to reduce financial risk. In a narrow 6-to-5 vote Thursday, February 26, county commissioners approved submitting an application to the state to become a mental health authority. If the state approves the request, Community Mental Health would no longer operate as a county department. Instead, it would become a separate entity governed by its own board of directors.
County leaders say the change would protect the county’s general fund from covering budget deficits. Medicaid provides most of CMH’s funding, but officials say those dollars aren’t keeping up with expenses.
Commissioner Jorristma:
In 2025, the department is projected to face a five-million-dollar deficit. That shortfall is expected to be covered by the Lakeshore Regional Entity, which distributes Medicaid funds to seven counties — for now. However, regional officials warn they may not be able to continue covering deficits after 2027.
Supporters of the move say the state’s mental health funding system is broken and that Ottawa County shouldn’t wait for lawmakers to fix it.
Commissioner Sylvia Rhodea says she prefers the county board having more direct involvement in overseeing Community Mental Health.
According to the department’s 2024 annual report, Ottawa County CMH served about 4,500 people last year, including adults with mental illness and substance use disorders, children with emotional disturbances, and individuals with developmental disabilities.
County administrators will now begin working on a transition plan. The Michigan Department of Health and Human Services could take up to a year to decide whether to approve the change.
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