They included classes, vocational training and halfway houses, where inmates could adjust to the outside world by working regular jobs in the day and staying in supervised housing at night.

The report says that for $25,310 a year, Mr. Goldstein could have lived in supervised, state-financed housing "with day services, clinic visits and an intensive case manager."

Many are candidates for supervised housing, where they can live in the community while getting the help they need to manage their illnesses.

They argue that the state has failed to provide enough money for community-based programs like supervised housing and intensive case management.

The supervised housing and specialized services of the governor's proposals, advocates say, are similarly limited.

Last spring, in response to the Goldstein case, the state passed a law making it easier to commit mentally ill people who go off their medication and appropriated an extra $50 million for supervised housing.

This includes supervised housing, food, financial support and basic medical care.

He was released last June into the custody of FEGS, which put him in supervised housing.

It means many on back wards of state hospitals can leave for supervised housing, like group homes.

Under a landmark 1993 law, savings from further reductions in the number of state hospital patients must be invested in supervised housing and services for the mentally ill.