The City's $46 Million Mental Health Blunder
The Mental Health Booster, Volume 3 Issue 1. 2010Over the past two years the City's mental health system has been hemorrhaging a staggering amount of money due to the mismanagement of the former Commissioner of Public Health, Dr. Terry Mason. Listed below are the losses incurred to Chicago taxpayers and the mental health clients due to the actions of the Commissioner.
$16.1 million
- The Department of Public Health decides to institute a computer billing system for mental health despite warnings that it may not be compatible. Aninitial contract is awarded to the CERNER Corp. When the system beginsuse in February 2008 95% of bills are rejected. [1]
$26 million
- The Sun-Times reports that the Inspector General is investigating a $26 million no-bid contract that was given to the politically connected company EKI to fix the CERNER problems. The system still is not in use. [2] Spielman, Fran. “City probes big no-bid deal.” Chicago Sun-Times March 15, 2010
$1.2 million
- As a result of the missed billings the City loses $1.2 million in State mental health funding for 2008. Therapists are fired, mental health centers narrowly escape closure, and hundreds of mental health clients are denied services.
$3.1 million
- In 2009, the City continues to fail to bill for services and the State is forced to cut mental health funding again. The Commissioner responds by blaming the State and once again attempts to close Centers.