Colorado’s Behavioral Health Administration suffered from high turnover, low worker morale, and an environment in which staff felt undervalued and unable to freely express their ideas and opinions, even before the agency’s outgoing leader took the job.
Gov. Jared Polis’ office announced late last month that Dannette Smith, who heads the agency responsible for overseeing mental health and substance-use programs in the state, will retire at the end of February.
Current and former BHA employees alleged in a report published by The Denver Post last week that Smith fostered an unsafe and chaotic work environment, leading many employees to leave for other opportunities.
But the department’s issues predate Smith’s tenure, according to a report commissioned by the state.
The state, in March 2024, hired an outside firm to conduct an equity assessment to better understand how employees at the time experienced the BHA and to see opportunities where equity, diversity and inclusion could be strengthened across the organization.
Smith took over as Colorado’s behavioral health commissioner that month, so the assessment centered on the experiences of staff under previous leadership.
Michelle Barnes led the organization on an interim basis for the year before the report’s release. She took over from Dr. Morgan Medlock, who helmed the organization from its inception in 2022 through her firing in April 2023.
The 28-page assessment, obtained by The Post through an open records request and not previously reported, found BHA performed worse than other organizations surveyed by the firm on a variety of statements, including:
- Creating opportunities that take advantage of the diverse talents and abilities of all employees
- Treating workers fairly regardless of their race or ethnic background
- Leadership being interested in the well-being of its staff
Thirty-four percent of respondents said their team was adequately staffed, giving them the bandwidth to engage with their teammates and foster a sense of belonging. One-third of those surveyed said leadership took accountability for organizational challenges. One-quarter said BHA had systems, policies and practices that enable everyone to thrive.
Staff members, in interviews with the consultants, pointed to “ineffective organizational systems and polices that negatively impact the workplace experience.”
These employees shared “feelings of distrust and dissatisfaction,” which contributed to the high turnover and low morale.
Many workers used the terms “chaotic” and “reactive” when asked to describe the culture at BHA — phrases echoed by current and former staff interviewed this year by The Post.
Some workers said they did not feel psychologically safe around certain leaders, though the report doesn’t identify those leaders. Multiple people said they witnessed or experienced racism and ableism. Several expressed feelings of resentment due to the low retention rates of staff of color.
Medlock declined to comment on the report. Barnes, who leads the Colorado Department of Human Services, said in a statement that she commissioned the assessment as a means of “better understanding the needs and perspective of the team.” She added that gaining and addressing input from staff remains an ongoing best practice at CDHS and BHA “to support a positive, healthy and high-performing culture.”
BHA, in a statement, said the equity assessment helped inform leadership’s understanding of the organization during its formative period. The report served as “one of several inputs used to align priorities, capacity and operational needs in service of the people of Colorado.”
Today, the agency has experienced increased organizational stability, the statement said, with current staff turnover below the statewide average.
BHA launched in 2022, the result of a behavioral health task force commissioned by Polis and a subsequent bill in the Colorado legislature.
The nascent agency experienced rapid turnover, pushed-back deadlines and a revision of its core mission, The Post reported in 2023.
Polis, just 15 months after standing up the department, fired its first commissioner, Medlock, without explanation.
Medlock later sued the state and several leaders, including Polis, for allegedly firing her because of her race. The former commissioner, who is Black, alleged the head of the Colorado Department of Human Services treated her “less favorably” than non-Black members of the governor’s cabinet, and that she faced discrimination and retaliation.
In November 2024, the state hired an outside law firm to investigate an incident in which Smith referred to “slitting throats” during a fireside chat with her staff, The Post reported last week. The probe concluded that the comment did not communicate a threat of imminent physical harm, though the report called the comments “unusual, to say the least, in a workplace setting.”
The firm found Smith’s comments violated the department’s code of conduct, as they were not “professional,” “respectful” or “courteous.”
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