Thanks for the grammar correction, I am glad you got the idea anyway. And yes the states are indeed responsible, however in many cases there are grants for some services. When these things get reduced, it forces many, more severe cuts at the state level.
My position is neither liberal, nor conservative when it concerns Mental Health. See, a few years ago, I had to deal with Mental health issues of two of my immediate family members, and got a real education on how screwed up that system is.