Ottawa County CMH warns of rising costs and funding shortfalls; board approves consultant to review CCBHC and Medicaid finances

Ottawa County Community Mental Health officials told board members at a public meeting that rising provider costs, a shortfall in state Medicaid funding and uncertainty about the county’s participation in the federal CCBHC demonstration have pushed the agency toward a projected deficit, and the board voted to hire an outside fiscal consultant to review options.

The agency’s director, Michael Brashear, told the board that Ottawa CMH recorded 99 crisis contacts in April and that 73 percent of those contacts did not result in an inpatient hospitalization, while 27 resulted in inpatient stays — higher than the program’s 25 percent hospitalization benchmark. Brashear said the system’s crisis and residential capacity is limited: the Robert Brown Center has six crisis‑residential beds and the county’s crisis residential contracts total fewer than 30 beds.

Those operational pressures come as the agency continues to reconcile last fiscal year’s finances and work through a pending budget adjustment. Amy (fiscal manager) reported a year‑to‑date deficit position; a summary filed during the meeting showed a projected net deficit of approximately $1.99 million through May 15, 2025. Brashear said Ottawa CMH served about 4,500 individuals in 2024, with roughly 1,800 adults with mental illness and 917 children with serious emotional disturbance included in those totals.

Brashear stressed the interaction of…