Monday, March 17, 2003

Mental health crisis vexes South Carolina
March 10 Charlotte Observer story - "A proposal to relieve South Carolina's mental health crisis by building new clinics could run into trouble as the state suffers more budget cuts and legislators debate whether there will be money to pay for the programs. A coalition of judges, police and mental health advocates are pushing legislators to use $10 million from a proposed cigarette tax increase for the Department of Mental Health to build more treatment clinics called crisis stabilization centers."  
  

Magellan Files for Bankruptcy
March 11 Washington Post story - "Magellan Health Services Inc., the nation's largest provider of mental health care, today filed for bankruptcy in an attempt to reduce its $1.5 billion debt and rebuild a company whose stock has lost 99 percent of its value over the past year. The Columbia-based company announced that its key creditors have agreed to a restructuring plan that would reduce Magellan's debt by $500 million and pull it out of bankruptcy by fall." See also Aetna May Buy Part Of Magellan (Hartford Courant) and State: Magellan bankruptcy won't disrupt mental health services in Tennessee (Nashville Business Journal).  
  

Pederson pushes for mental health insurance (Iowa)
Story in the Daily Nonpareil on one of several bills proposed in the state legislature this year that would third-party payers of health, medical or surgical expenses to offer similar coverage for serious mental illnesses.  
  

Mental health groups push for reform (Indiana)
Northwest Indiana News story - "A proposed law forcing insurance companies to cover substance abuse treatment for Hoosiers with mental illness is pitting the Mental Health Association of Indiana against business."