Oklahoma’s mental health services are facing significant financial challenges as the state’s Department of Mental Health and Substance Abuse Services grapples with a $43 million budget shortfall. The news came to light during an emotional meeting between the agency’s commissioner, Allie Friesen, and providers contracted with the department, where providers expressed frustration over unexpected cuts that have impacted their ability to deliver care.
Initially, officials believed the shortfall to be $63.7 million, but Commissioner Friesen confirmed that the revised figure stands at $43 million. Friesen acknowledged the difficulties of navigating the political landscape in Oklahoma, noting the tensions between the state’s legislature and executive branches that complicate efforts to secure adequate funding for mental health services. She expressed frustration with the situation, admitting that the political environment often gets in the way of prioritizing patient care.
In a candid statement, Friesen voiced her commitment to focusing on the needs of individuals who require mental health services, even if it means challenging political forces. “If we can remove the political egos from the situation and focus on those that need our care, then we’ll get it figured out,” she said, acknowledging the personal risk she faces by advocating for better mental health funding.
The Oklahoma State Department of Mental Health and Substance Abuse Services (ODMHSAS) is under investigation to determine the exact nature of the financial shortfall. Kelsey Davis, a spokesperson for the department, clarified that while no contracts had been canceled at the time of the meeting, the agency is considering adjustments to its value-based payments, which reward providers for achieving positive outcomes like sobriety or job retention.
Impact on Mental Health Providers
The shortfall has created significant uncertainty for providers like Janet Cizek, CEO of Community Treatment Integrations, which serves around 8,000 clients annually. Cizek’s organization focuses on treating substance abuse disorders and was impacted by a retroactive termination of a contract that had been in place since October 1. This decision means that Cizek’s organization will not receive reimbursement for services already provided, potentially leaving patients without crucial treatment.
Cizek criticized the department’s claims that no contracts had been cut, calling it “disingenuous” given the retroactive nature of the contract termination. She warned that the loss of funding could lead to serious consequences for patients, with some potentially facing jail time or even death without access to the services they rely on.
Political and Administrative Struggles
The financial crisis has sparked a series of political and administrative challenges within the state’s mental health agency. Governor Kevin Stitt has yet to comment publicly on the issue, but the department’s financial troubles have led to calls for an audit. In response to Friesen’s concerns, Stitt requested an audit of the agency, and the Legislative Office of Fiscal Transparency has been tasked with investigating the cause of the shortfall and determining how to prevent similar issues in the future.
Richard Edwards, the former chief financial officer (CFO) of the agency, resigned under pressure and denied any wrongdoing, calling himself a “convenient scapegoat” for the agency’s financial troubles. He also attributed some of the financial difficulties to decisions made under the current leadership, including the hiring of high-level staff and purchases of furniture and vehicles that, though small in impact, contributed to the budget issues.
Legislative Response and Future Budget Requests
The state’s House Appropriations and Budget Committee Chairman, Trey Caldwell, pointed to past administrative practices where prior year bills were paid with new money, a situation that ultimately led to the current shortfall. He indicated that a supplemental appropriation to address the shortfall may be possible, but lawmakers are waiting for a firm figure from the executive branch before taking further action.
In the midst of the financial crisis, the department is also seeking an additional $124 million from the state legislature to cover the construction costs of a new inpatient mental health hospital, the Donahue Behavioral Health Campus in Oklahoma City. This new facility is designed to replace the Griffin Memorial Hospital in Norman, which is outdated and no longer meets the needs of the growing mental health population in the state.
Conclusion
As Oklahoma’s mental health services face a budget shortfall, providers and patients alike are feeling the pressure of a system stretched thin. The state’s leadership must navigate complex political and administrative challenges to secure the funding needed to maintain and expand mental health services. The financial uncertainty and cuts are exacerbating an already strained system, leaving providers and patients wondering what the future holds for mental health care in the state.
