Bill to reimburse counties for mental‑health holds aims to end 'double taxation' for local jails

Representative Tracy Sharp told the Senate Finance and Claims committee that House Bill 643 is intended to reimburse counties that hold people on DPHHS holds awaiting placement at state mental‑health facilities. Sharp said counties currently shoulder those costs without state reimbursement, creating a de facto double tax on counties.

Brian Thompson, representing the Montana Sheriffs and Peace Officers Association, and Juanita Vero of the Montana Association of Counties described lengthy holds in county jails—sometimes measured in months—where counties absorb costs that, under DOC holds, would be reimbursed at roughly $82.80 per day. Thompson said the bill would establish a payment rate for DPHHS holds and that the BISFIG special revenue account might be an appropriate funding source.

Committee members examined the proposal's mechanics, asking whether a 150% rate (150% of the DOC reimbursement) was necessary; committee discussion included possible lower percentages (140% or 135%) and a willingness by the sponsor to consider sunsetting the program after two years for legislative review. Senators also probed the fiscal note; a technical $6 million one‑time figure was referenced, but witnesses acknowledged fiscal calculations vary by county and by year.

What happens next: Sponsor asked for a "do pass"; the committee closed the hearing. If advanced to executive action, the committee may consider adjustments to the per‑day rate, funding source, and a sunset provision.