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Managing Michigan's Publicly-Funded Health Services System

The Michigan Department of Community Health (MDCH) is one of 18 departments of state government.

The department, one of the largest in state government, is responsible for health policy and management of the state's publicly-funded health service systems. About 2 million Michigan residents will receive services this year that are provided with total or partial support from MDCH.

The department was created in 1996 by consolidating the Department of Public Health, the Department of Mental Health and the Medical Services Administration, the state's Medicaid agency. The Office of Drug Control Policy and the Office of Services to the Aging were later consolidated with MDCH.

Governor Granholm named Janet Olszewskias the department's director effective January 1, 2003. A long-time health care executive, Olszewski was Vice President for Government Programs and Regulation at M-CARE, a non profit managed care company owned by the University of Michigan. Before joining M-CARE, Olszewski spent more than 20 years in state government health services.

MDCH has a 2010 gross appropriation of $13.1 billion and approximately 4,100 employees.

Services are planned and delivered through these integrated components:

  • Medicaid health care coverage for people with limited incomes
  • Mental health services for people who have a mental illness or a developmental disability, and services for people who need care for substance abuse
  • Health needs assessment, health promotion, disease prevention, and accessibility to appropriate health care for all citizens
  • Drug law enforcement, treatment, education and prevention programs
  • Promoting independence and enhancing the dignity of Michigan's older persons and their families
  • Administering the crime victims rights fund, investigating and processing crime victim compensation, and administering federal Victims of Crime Act grants

Medicaid provides healthcare coverage for more than 1.7 million Michigan residents who are eligible for Medicaid coverage under federal guidelines. Services covered include inpatient and outpatient hospital services, physician services, health screening for eligible children, maternity services, pharmacy, medical supplies and equipment, nursing, mental health care, community-based care, and other services.

The department's Mental Health Servicesare primarily provided through contracts with 46 Community Mental Health Services Programs (CMHSP) and 18 Prepaid Inpatient Health Plans (PIHP). These programs provide community-based behavioral and mental health services and supports to persons with mental illness, developmental disabilities and addictive disorders throughout Michigan. The CMHSPs are expected to serve more than 220,000 children and adults this year.

In addition, the department operates four adult state psychiatric hospitals for persons who have mental illnesses, one center for persons who have developmental disabilities, one children's psychiatric center, the state's Center for Forensic Psychiatry and, under a contractual agreement with the Department of Corrections, the Huron Valley Center, an inpatient program for prisoners.

Michigan Mental Health Code

Substance abuse services are provided through 16 substance abuse coordinating agencies in various locations throughout Michigan.

The department's Health Administrationcomponent contracts with 45 local public health departments that serve all 83 Michigan counties. The local public health units assess health needs, promote and protect health, prevent disease, and assure access to appropriate care for all citizens.

The Office of Drug Control Policyadministers federal funds in Michigan for drug law enforcement, treatment, education and prevention programs.

The Office of Services to the Agingpromotes independence and enhances the dignity of Michigan's older persons and their families through advocacy, leadership, and innovation in policies, programs and services.

The Michigan Crime Victim Services Commissionadministers the crime victim rights fund, investigates and processes applications for crime victim compensation, and administers federal Victim of Crime Act grants.

Michigan Public Health Code

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Related Content
 •  MDCH Working Toward a Healthier Michigan PDF icon
 •  MDCH Strategic Plan PDF icon

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