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The agency is going to have to cut some services to consumers who do not quality for Medicaid, which is about 25 percent of their clientele.

"The state funding has not been cut. Requests for services has overwhelmed our ability to hand it this yearÉIt's just with the economy, we've been overwhelmed with people coming in who wouldn't have (otherwise)," explained Director Dr. Roger Dean.

"We have been fortunate to have equal plans for both (Medicaid and non-Medicaid consumers). Unfortunately with higher hospitalizations and more people walking through the doorÉWe have to limit some or our services," he explained. He said most county have not been able to provide the services the Sanilac County has.

Dean said the cuts will impact primarily the mentally ill consumers and effect everything from jail services to therapy and recreational outings.

Dean also told the board the state mental health budget is better than anticipated.

"The $7.2 million CMH general fund cut proposed by the governor was restored," he said.

They were also very worried about proposed Medicaid cuts, which will not take affect this year anyway.

In other business, the board:

*Heard the agency received an outstanding review from the Commission for Accreditation of Rehabilitation Facilities. Dean reported the national commission also recognized three exemplary programs --peer supports, wrap around and the children's connection team.