Mental illness: more profitable than you might think

Add the mentally ill to illegal immigrants and non-violent drug offenders, and you have the magic profit formula for America’s private prison industry and its shareholders.

Mother Jones has a timeline illustrating how deinstitutionalization has moved thousands of mentally ill people out of hospitals—and into jails and prisons.

I’ve taken just the past 35 years of that timeline and pasted it below — notice Saint Raygun’s heartwarming contributions towards mental health services in 1981:

1977 There are 650 community health facilities serving 1.9 million mentally ill patients a year.
1980 President Jimmy Carter signs the Mental Health Systems Act, which aims to restructure the community mental health center program and improve services for people with chronic mental illness.
1981 Under President Ronald Reagan, the Omnibus Budget Reconciliation Act repeals Carter’s community health legislation and establishes block grants for the states, ending the federal government’s role in providing services to the mentally ill.  Federal mental health spending decreases by 30 percent.
1984 An Ohio-based study finds that up to 30 percent of homeless people are thought to suffer from serious mental illness.
1985 Federal funding drops to 11 percent of community mental health agency budgets.
1990 Clozapine, the first “atypical” anti-psychotic drug to be developed, is approved by the FDA as a treatment for schizophrenia.
2004 Studies suggest approximately 16 percent of prison and jail inmates are seriously mentally ill, roughly 320,000 people. This year, there are about 100,000 psychiatric beds in public and private hospitals. That means there are more three times as many seriously mentally ill people in jails and prisons than in hospitals.
2009 In the aftermath of the Great Recession, states are forced to cut $4.35 billion in public mental health spending over the next three years, the largest reduction in funding since deinstitutionalization.
2010 There are 43,000 psychiatric beds in America, or about 14 beds per 100,000 people—the same ratio as in 1850.

Read the whole thing: TIMELINE: Deinstitutionalization And Its Consequences

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From 2009 – 2012, these six states made the deepest cuts to their mental health budgets: South Carolina, Alabama, Alaska, Illinois, Nevada, District of Columbia, and California.

I wonder how many private prisons are in these states?

three pie charts in a row

Image: Mother Jones

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Largest Prison-Owning Corporation Issues Massive Dividend of $675 Million to Shareholders

If you want to make money these days, owning stock in a prison company is the place to do it.  The confinement of human beings, while selling their cheap labor to companies seeking to save on labor costs has become a cash cow.  One company that has benefited handsomely from the profit boom is the Corrections Corporation of America (CCA).

CCA is the largest owner of private prisons in the nation, behind only the federal government and three states. The company just announced that it’s Board of Directors has declared a special dividend to shareholders of $675 million dollars.

…The CCA operates a total of 67 prison facilities throughout the United States, with a total capacity of 92,500 beds in 20 states and the District of Columbia.  The company was heavily criticized for offering to buy prisons in 48 states, in exchange for a guaranteed occupancy rate of at least 90%.

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It’s not just the private prison industry. Something else to consider:

A jury on Wednesday awarded a total of $240 million to 32 mentally disabled turkey processing plant workers in Iowa for what an expert witness described as years of “virtual enslavement” by [Henry's Turkey Service, of Goldthwaite, Texas] that oversaw their care, work and lodging…

During the weeklong trial that ended Wednesday, officials testified about the squalid conditions they found during a 2009 inspection of the bunkhouse where the men were housed. The building, which was in a rural area several miles from the West Liberty Foods turkey processing plant where they worked, was falling apart, infested with rodents and full of fire hazards.

Social workers spoke of the physical and verbal abuse the men said they had been subjected to by the Henry’s supervisors who oversaw their work and care. They said they had been forced to work through illness and injuries, denied bathroom breaks, locked in their rooms, kicked in the groin and, in one case, handcuffed to a bed…

By 2008, Henry’s was being paid more than $500,000 per year by West Liberty Foods, but it was paying the men the same $65 per month that it always had. The company docked the men’s wages and Social Security disability benefits, telling them it was to pay for the cost of their care and lodging, and it never applied for medical care or other services for the disabled that the men would have qualified for in Iowa.

Henry’s began employing mentally disabled men in the 1960s and 1970s who had been released from Texas mental institutions. Hundreds of them were sent to labor camps in Iowa and elsewhere in the coming decades, where they were supplied on contract as workers to local employers. Company officials argued that the arrangement was a benefit to the men, and that they were once praised for giving them employment opportunities…

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Related: 

Don’t ever say Republicans–with their deregulation and “pay workers less so CEOs can get more” and “corporations  are people” mentality–aren’t job creators. Companies like private prisons and Henry’s Turkey Service are just selective about the wages they want to pay and the type of workforce “willing” to work for those wages. Remember, it was the glassy-eyed Teaparty Queen, Michele Bachmann, who said that the federal minimum wage should be eliminated for the benefit of job growth.

Clearly if you deinstitutionalize the mentally ill / disabled, you’ll be able to make a handsome profit on their confinement in labor camps or prisons — with the added bonus that you won’t “waste” money on having to care for them. If the Republican Party had its way, we’d all be working for $65 a month in company housing that was falling apart.

American fundamentalist Christianity combined with deregulated Capitalism in 2013 – same as it ever was:

“Now this was the sin of your sister Sodom: She and her daughters were arrogant, overfed and unconcerned; they did not help the poor and needy.” – Ezekiel 16:49

August 5, 1981: The day the middle-class died in America

Michael Moore: 30 years ago today the middle-class died | Truthout

From time to time, someone under 30 will ask me, “When did this all begin, America’s downward slide?” They say they’ve heard of a time when working people could raise a family and send the kids to college on just one parent’s income (and that college in states like California and New York was almost free). That anyone who wanted a decent paying job could get one. That people only worked five days a week, eight hours a day, got the whole weekend off and had a paid vacation every summer.

That many jobs were union jobs, from baggers at the grocery store to the guy painting your house.

And this meant that no matter how “lowly” your job was you had guarantees of a pension, occasional raises, health insurance and someone to stick up for you if you were unfairly treated.

Young people have heard of this mythical time — but it was no myth, it was real. And when they ask, “When did this all end?”, I say, “It ended on this day: August 5th, 1981.”

Beginning on this date, 30 years ago, Big Business and the Right Wing decided to “go for it” — to see if they could actually destroy the middle class so that they could become richer themselves.

And they’ve succeeded.

Read it all…

Pre-Reagan America:
Labor Unions

Post-Reagan America:

Related:

A letter from Ronald Reagan

Would Republican teapartyers have listened to Ronald Reagan? (via pantslessprogressive — emphasis mine):

CLEVER POLITICKING ON THE DEBT CEILING. On Wednesday afternoon, every House Republican will receive a letter urging them to raise the debt ceiling.

Or, rather, a letter from President Ronald Reagan to Senate Majority Leader Howard Baker in 1983 urging Congress to raise the debt ceiling.

Dear Howard:

This letter is to ask for your help and support, and that of your colleagues, in the passage of an increase in the limit on the public debt.

As Secretary Regan has told you, the Treasury’s cash balances have reached a dangerously low point. Henceforth, the Treasury Department cannot guarantee that the Federal Government will have sufficient cash on any one day to meet all of its mandated expenses, and thus the United States could be forced to default on its obligations for the first time in its history.

This country now possesses the strongest credit in the world. The full consequences of a default or even the serious prospect of default by the United States are impossible to predict and awesome to contemplate. Denigration of the full faith and credit of the United States would have substantial effects on the domestic financial markets and on the value of the dollar in exchange markets. The Nation can ill afford to allow such a result. The risks, the cost, the disruptions, and the incalculable damage lead me to but one conclusion: the Senate must pass this legislation before the Congress adjourns.

I want to thank you for your immediate attention to this urgent problem and for your assistance in passing an extension of the debt ceiling.

Sincerely,

Ronald Reagan

Image of the letter after the cut: Continue reading

Washington Post graphic: Who raised the debt ceiling?

Washington Post: Since 1980, the debt ceiling has been raised 39 times:

  • 17 times (!!) under Ronald Reagan (that’s an average of every 5.68 months!)
  • 4 times under Bill Clinton,
  • 7 times under George W. Bush,
  • 3 times (4th pending) under Obama (Congress is currently in a contentious debate with the White House on whether to raise the ceiling by the Aug. 2 deadline)
  • remaining 8 times under George HW Bush & Jimmy Carter

Who raised the debt ceiling?

Tobey / The Washington Post. Published on July 14, 2011, 7:32 p.m.

Think Progress: [Regarding debt increases during GWB's administration,] database searches revealed no demands from [Boehner, Cantor, McConnell or Kyl] that debt increases come accompanied by drastic spending cuts, as there are now. In fact, the May 2003 debt limit increase passed the Senate the same day as the $350 billion Bush tax cuts for the wealthy.

The tax cuts for the wealthy were passed WHILE we were at war in Afghanistan (where he never did find bin Laden ‘dead or alive’), AND WHILE Bush was angling to start another in Iraq — a war based on lies! Leadership! Because wars cost nothing. And oil. Where’s the money, who actually profited (since it wasn’t America)?

Note: Any disappointment I have with President Obama is rooted in the fact that he’s said his administration will never investigate and / or bring GWB (or the main actors in that administration) to trial for Iraq and for everything that transpired in the Middle East during the Bush years. Unfortunately, it seems there won’t be any administration in any part of the world that will ever do it either — but we can continue to hope.

Reagan was a bigger socialist (and destroyer of capitalism) than President Obama?

“Thus, President Obama is being called a “socialist” who seeks to destroy capitalism. Why? Because he wants to raise the tax rate on the highest-income Americans back to, um, about 10 percentage points less than it was for most of the Reagan administration. Bizarre.”

PAUL KRUGMAN

quote: waronidiocy

Glenn Beck Conspiracy Theory #3,096

MMFA:  Beck has adopted the crazy conspiracy theory that President Obama, Soros, and others on the left may be planning military action against Israel.

Under which president did the United States vote in favor of a Security Council resolution to “condemn” Israel?

A. Barack Obama

B. Beck’s hero, Ronald Reagan

Answer…