Washington state officials bought a recently shuttered for-profit psychiatric hospital in Tukwila, as part of an ongoing drive to increase the state’s struggling mental health system.

Funding for the $29.9 million purchase comes out of the state Department of Social and Health Service’s current budget. The purchase of the 118-bed Cascade Behavioral Health facility, which closed several weeks ago, will prevent the loss of more treatment beds amid a long-running shortage of psychiatric treatment options.

The facility’s CEO told state regulators in a mass-layoff notice before closing the hospital, that its business was no longer sustainable after the onset of the pandemic. It was owned by the Tennessee-based company Acadia Healthcare.

The purchase comes as Governor Jay Inslee’s administration continues to struggle to reshape and expand capacity in Washington’s long-troubled mental-health system. State regulators will not open the facility at the same capacity nor to the same patient population.