I just read the transcript.  Thanks for posting the link.
From what I read, the transcript specifically indicates the cops did not know they were dealing with someone with mental issues. ("Ok but no mental on her?  She ...no..."")
Just another screwed up situation that they see over and over and over.
I am also familiar with hindsight bias - how people after the fact think it was obvious that such and such was the case or was about to happen.
However, I believe it is right to try and consider how de-escalation might have occurred.  Perhaps not in this case but others where it seems there was a way to wait it out a little.