2010 tested our resolve to ensure the increasing demand for services was met. Southwest Behavioral Health rose to this challenge with innovation and hard work spearheaded by our dedicated staff. SBH developed key relationships in our ongoing development of five northern Arizona clinics. We opened two state-of-the-art clinics providing integrated care of both behavioral and physical health right here in Maricopa County. And our evolving relationship with leaders and students of Sias University in China led to the creation and opening of the Southwest Behavioral Health/Sias University Prevention Center, a first for that country.

Our key challenge the past year and into the future is our ability to adapt to changes in service recipient eligibility and funding. The national and state economic recession has certainly had an impact on behavioral health in Arizona and at SBH. Typically the demand for behavioral health services has an inverse relationship to the economy. Since many of our service recipients are on Medicaid, during economic slowdown and an increase in joblessness, Medicaid enrollment grows as do our referrals. That has been the case at SBH over the past three years, as we have seen a significant increase in persons seeking services. As a result, we have expanded offices and increased staff to meet the public’s demand for services.

On the other hand, our state economy has been hard hit to the point that stat government has made cuts in eligibility and funding that impact the persons we serve. Last year as our Medicaid business grew, funding for non-Medicaid (uninsured working poor) was all but eliminated with the exception of crisis services and psychiatric/medication services for the serious mentally ill.

Going forward into fiscal year 2011 and 2012, we need to be ready to adapt to additional changes to the structure of behavioral health services in Arizona. We face the very real prospect that the legislature will put limits on Medicaid eligibility due to cutbacks by state government. Counter-intuitively, we need to keep our eye on the near future; in October 2013, in accordance with the National Healthcare Reform, Medicaid eligibility will increase and we expect to have as much as a 50% jump in referrals. Our adaptability is key to our success the next three years. You can see some stories of success in our 2010 Annual Report.

You can see some stories of success in our 2010 Annual Report.