This is absolutely right, but the difficulty is that there aren't enough cells in prison and while it's okay for us to joke about guys like this sharing a cell with Bubba, in reality it won't actually resolve the issue in the best possible way.
I guess as a society we're still learning. We don't do enough of this and we aim at our government and call them lazy. We do too much of the same and we're a nanny state. That middle road is different for you and me - because we all see the world differently.
I'm not saying this guy should have been left out to do what he did, just pointing to parts of the system that let us down. We (as a society) will continue bitching at each other about not doing enough/nannying for years to come - it seems to be our way!
As for the "best possible way" to deal with this - if you had a crystal ball and could forsee that he was after suicide-by-cop, then rather than a lengthy process of arrest, indictment, arraignment and release, you could have just shot him.
Oh for a REAL gypsy.