The community mental health centers program is designed to stimulate State, local, and individual action in the areas of prevention, treatment, and rehabilitation of the mentally ill. Since the enactment of Public Law 88-164 the importance of temporary Federal support for centers staffing has been recognized. In its report which accompanied H.R. 2985 (the staffing bill) the Interstate and Foreign Commerce Committee of the House said:

"It is the committee's view that questions on the critical need for staffing grants have been answered by subsequent experience. Federal funds are necessary to enable communities to provide desperately needed services while permanent sources of financial support are developed."

For 1967, an appropriation of $33,907,000 is proposed which includes $17,843,000 for new grants and $16,064,000 for continuation grants. Each grant of 4 years and 3 months will normally assure Federal matching at a rate of 75 percent of eligible costs for the first 15 months. During each of the three succeeding 12-month periods, the matching rate declines, first to 60 percent, then to 45 percent, and finally to 30 percent of eligible costs in the final 12-month period; $16,064,000 will be required for continuation for 3 months at the 75-percent rate and at the 60-percent rate for 9 months of grants initially funded from the 1966 apportionment of $18,899,000.

Program plans in 1966

During the first half of 1966 efforts were focused upon the development of the administrative regulations for Public Law 89-105 as well as the design of the project application form. These efforts, which included consultation with several professional associations such as the American Psychiatric Association, American Psychological Association, and the American Medical Association, are now in the final stages. The regulations were accepted without change by the National Advisory Mental Health Council at their November 1965 meeting. The application form will be released as quickly as possible following approval of the Bureau of the Budget. Program officials have been consulting with potential applicants in advance so that applications may be filed as soon as possible following their availability.

Program plans in 1967

In addition to those community mental health centers constructed under the authority of Public Law 88-164 which will request staffing assistance, there will be an increasing number of community mental health centers which will not need construction assistance, but which will apply for staffing grants as they add new services to their already existing programs. New grants in 1967 will help to meet this need.

The appropriation for State control programs is allotted among the States by a formula which takes into consideration the population, financial need, and

extent of the mental health problem. The purpose of this grant is to assist the States in establishing, maintaining, and expanding State and local community mental health services in an effort to improve the mental health of the people of the Nation. The broad purpose of this grant program has encouraged the States to exercise considerable latitude in the use of these funds. They have been used to support basic diagnostic and treatment services as well as development projects. In determining the use of Federal grant-in-aid funds State legislatures, executive departments, boards of control, as well as the professional staff of the State mental health authorities have been involved. In States where public and voluntary funds have been severely limited, these grants have provided support for a very substantial portion of the community mental health program In nine States this grant supports between one-third and one-half of the tota! cost of the community mental health program. States have used the funds for support of a variety of demonstration projects for which State funds were not available initially. As a consequence, State as well as local groups have become aware of the need for increased support for mental health programs. Aftercare services for discharged hospital patients, rehabilitation projects, day treatment services for pre-school children, consultation to nursing homes with respect to older emotionally disturbed patients, and mental health services for rura: school populations are services which have been started with these funds. Inservice training for staff of the mental health, health, and other agencies has also been supported. Mental health education for various lay groups has broadened the understanding of mental illness and mental health.

Program plans in 1966 and 1967

There is a continuing need for formula grant funds because of the latitude offered for the support of those community mental health services most needed in each State. In a number of States these funds constitute a large portion of the support for the entire community mental health program. In many States these funds are used to support new services for which State funds are not initially available but for which State and/or private funds become available after a period of demonstration.

In administering the formula grant program the Institute will continue to encourage the use of funds for support of innovations and development of more comprehensive State mental health programs. Added emphasis will be placed upon use of the funds to extend continuity of patient care and the extension of community programs in keeping with the State's plan for comprehensive service.