CARMEL, NY - Putnam County Executive Kevin Byrne today announced his intention to create a new Mental Health Services Fund totaling more than $2 million— protecting and honoring the county’s commitment to addressing the growing mental health needs throughout the region.

The fund will be established through the assignment of unassigned general fund balance, following a recommendation by County Executive Byrne and concurrence from the Commissioner of Finance.

“This is a major step forward in our ongoing commitment to strengthening mental and behavioral health services in Putnam County,” said Byrne. “We have made significant progress over the past several years, but the need remains. This investment ensures Putnam County has both the resources and flexibility needed, free of federal ARPA restrictions, to continue expanding access to care and delivering real support for our residents.”

The initiative stems from the County’s original plan to utilize American Rescue Plan Act (ARPA) funding to contract for a 24/7 stabilization center. After years of effort the project was unable to move forward. Following this news, the Administration announced its intention to work with the County Legislature to identify other opportunities to responsibly repurpose the remaining balance of ARPA funds. County Executive Byrne also made it clear that Putnam County’s commitment to supporting mental health services remained. This assignment of a portion of the county’s fund balance honors that commitment.

By reallocating ARPA funding to other eligible projects and assigning these funds from the County’s unassigned fund balance, Putnam County will create a dedicated, flexible funding stream for mental health initiatives that is not constrained by convoluted federal restrictions.

“This approach allows us to stay true to our original goal of expanding mental health services while adapting to changing circumstances,” Byrne added. “We are using sound fiscal management to turn a setback into an opportunity.”

The newly created fund will be structured as an assigned fund, meaning it will be restricted exclusively for mental health-related initiatives. Any expenditures from this fund would require approval from the Putnam County Legislature.

The County Executive’s Office will continue to work closely with the Department of Mental Health, Social Services, and Youth Bureau to identify the most effective uses of this funding and develop a comprehensive plan for expanding services across Putnam County.

“This will not be a one-size-fits-all approach,” Byrne said. “Whether it’s crisis services, outpatient care, youth support, or community-based programs, Putnam County will invest accordingly.”

Commissioner of Mental Health, Social Services, and Youth Bureau Sara Servadio welcomed the announcement and emphasized the impact this funding will have on residents.

“This investment will be a meaningful opportunity to expand and strengthen the continuum of care in Putnam County,” said Servadio. “We are seeing increasing demand for mental health services across all age groups, and this dedicated funding will allow us to strategically grow programs, enhance access, and ensure that individuals and families can get the support they need closer to home.”

Finance Commissioner William Carlin noted that the assignment is supported by the County’s strong fiscal position and ongoing independent audit process, which ensures that reserves remain healthy even as new investments are made without the need to unnecessarily borrow funds or further burden property taxpayers.

This latest investment builds on the Byrne Administration’s broader efforts to improve access to mental health services. In recent years, the County has taken significant steps to elevate mental health as a core priority - including establishing a dedicated Director of Mental Health role, specialized co-response team that includes law enforcement and mental health professionals, strengthening partnerships with local providers like Philipstown HUB, the Prevention Council, Cove Care and others while advancing other new initiatives aimed at improving access to care, supporting Putnam County families and youth.

Together, these efforts reflect a sustained, comprehensive approach to behavioral health that continues to grow and evolve to meet the needs of Putnam County residents.

“As County Executive, I’ve made it clear that mental health matters,” Byrne said. “This investment will reinforce that commitment and positions Putnam County to meet the needs of today while planning for the challenges of tomorrow.” 

###

Click below to see correspondence between County Executive Byrne and Commissioner of Finance Bill Carlin regarding the creation of a Mental Health Services Fund.

MEMO: Byrne to Carlin re – mental health funding Byrne to Carlin Regarding Mental Health Funding - PDF

MEMO: Carlin to Byrne re – mental health fund and audit Carlin to Byrne Regarding Mental Health Fund and Audit - PDF