State to close two mental hospitals, lay off employees to cover budget shortfall

Governor Strickland said the state plans to close two mental hospitals and layoff state employees to plug a projected budget shortfall over the next 17 months. (Source: "Ax taken to state jobs," Columbus Dispatch, Feb. 1, 2008.) The closings and layoffs are expected to save the state $733 million, with the state's budget shortfall expected to range from $733 million to $1.9 billion by July 2009. If the worst budget projects come true, the state will tap a $1 billion rainy day fund to cover the difference.

James Ignelzi, deputy director of the Department of Mental Health, said closing the out of date 48-bed Cambridge hospital, part of Appalachian Behavioral Health, will lead to the loss of 130 jobs and a $5.8 million payroll. Some of those beds will be transfered to Athens' mental hospital, which will double from 40 beds to 80. In addition, the 110-bed hospital of Twin Valley Behavioral Healthcare with a staff of 200 will close. Ignelzi said many of those patients and some of the jobs will move to Columbus.

John Martin, director of the MRDD Department, said his agency will lose as many as "380 employees, including 45 in the central office in Columbus. An estimated 165 to 170 patients at state developmental centers will be released on waivers, allowing them to obtain the same services at local facilities or at home. The Department of Job and Family Services, which oversees Medicaid, food stamps and other programs for the poor, must cut up to 12% of its staff of 4,000."