Facts

For many years, the County of Sacramento has contracted with non-profit agencies to provide outpatient mental health services to adult Medi-Cal recipients in the County, allowing indigent mental health patients to maintain active lives in their communities and avoid hospitalization. The County made plans to terminate its contracts with the non-profit providers, close existing mental healthcare centers, and open its own County-run clinics to provide certain outpatient services.

Disability Rights California, the Western Center on Law and Poverty, and Cooley LLP filed suit against the County on behalf of those served by the programs being terminated.

PLAINTIFFS' CONTENTIONS:
Plaintiffs alleged that the County was eliminating essential mental health services in violation of federal and state laws, including the Americans with Disabilities Act, and placing mental health patients at risk of institutionalization through the proposed termination of the contracts with the non-profit providers and the closure of the mental healthcare centers.

Result

On July 21, 2010, Federal District Judge John Mendez granted a preliminary injunction stopping the County from implementing and enforcing its plan. The parties subsequently reached an interim agreement whereby the County would continue to use the existing providers for outpatient services at their current level until at least June 30, 2011. The County would also hire an expert to evaluate the system and make recommendations.