NJAMHAA Demonstrates Value of Services for Residents’ Lives and State’s Economy
Community-based mental health and substance use services provide
tremendous value by saving lives and greatly enhancing quality of
life for children and adults throughout New Jersey, as well as
contributing to the state's economy. The New Jersey Association
of Mental Health and Addiction Agencies, Inc. (NJAMHAA)
illustrated these personal and fiscal benefits during a recent
press conference.
"Substantial savings are achieved because community-based
services cost significantly less than state psychiatric hospital
services and they have been proven to prevent the need for much
higher-cost healthcare services and other consequences of lack of
or delayed treatment, including unemployment, homelessness and
incarceration," said Debra L. Wentz, Ph.D., President and CEO of
NJAMHAA, a trade association representing 160 community-based
mental health and substance use service providers throughout the
state who serve 500,000 of New Jersey's children and adults each
year.
"Significantly more of these benefits can be achieved with the
anticipated increased funding that Governor Christie announced
during his State of the State and Budget addresses and that we
hope will garner bipartisan support in the Legislature," Dr.
Wentz added. "Community providers need these additional dollars
to be reflected in fee-for-service rates that need to pay for the
full cost of services and the overhead of operating their
businesses in 2016 and beyond."
"The community mental health and substance use system has been
underfunded for decades. Yet, through commitment, hard work and
fundraising, providers have delivered services to the increasing
number of people in need. More is needed to support individuals
with mental illnesses and substance use disorders and to support
the community system they depend on for high-quality,
cost-effective services," Dr. Wentz said.
"In the late 1960's, when the Community Mental Health Center
(CMHC) and the De-institutionalization movements were just
beginning to be implemented, New Jersey supported six state
psychiatric hospitals, which housed more than 20,000 patients.
Today, New Jersey operates just four psychiatric hospitals, which
care for fewer than 1,700 patients. At a cost of more than
$250,000 per bed per year, can you imagine the impact on our
state budget for the cost of care for these patients without our
CMHC's?" said Jim Cooney, MSW, LCSW, Chief Executive Officer,
Ocean Mental Health Services, Inc.
In addition, NJAMHAA illustrated community mental health and
substance use service providers' direct contributions to the
state's economy through the nearly 52,000 direct jobs paying a
total of more than $1.6 billion in payroll each year;
approximately 9,000 indirect jobs; $3.2 billion in gross domestic
product purchases; and $242.3 million in state and local
govern-ment taxes and fees. These revenues were determined by
Rutgers University's Edward J. Bloustein School of Planning and
Public Policy for a study commissioned by NJAMHAA.
