The Orange County Health Care Agency (OCHCA) has terminated its partnership with the nonprofit organization Be Well OC, which managed the Mental Health and Wellness Campus in Orange. The decision, effective as of late August, followed an audit that identified deficiencies in billing practices and staff training.
Be Well OC, also known as Mind OC, has been involved in outreach to the homeless and operated various mental health and substance abuse programs in the county since 2021. The nonprofit ran the Mental Health and Wellness Campus under a partnership with OCHCA, which had invested $16.6 million in the facility’s development, with additional contributions from CalOptima and local hospitals.
The audit, conducted in July, highlighted issues with the management of staff training, credentials, and quality assurance at the campus. Concerns were also raised about potential inaccuracies in billing for services provided. The audit particularly focused on crisis support programs such as the crisis stabilization unit and emergency hotline, previously managed by Exodus Recovery Inc., a contractor whose performance was scrutinized for failing to address calls and referrals adequately.
Phillip Franks, Chief Executive of Mind OC, asserted that the audit’s issues were not related to clinical care but rather to county-level contract monitoring. He expressed surprise and disappointment at the termination notice received on August 29, stating that Be Well OC had recently invested in enhancing crisis support services, including restaffing the hotline with registered nurses available around the clock. According to Franks, the call center now handles 80 to 90 calls daily, and nearly all programs at the campus are fully occupied.
Franks also expressed concern about Exodus Recovery Inc.’s renewed involvement, given the audit’s findings related to their prior performance. Despite this, OCHCA plans to collaborate with Exodus Recovery Inc. and HealthRight 360 to ensure the continued provision of high-quality psychiatric crisis and substance-use disorder services at the campus.
In a joint statement, OCHCA and Mind OC cited the need to adapt to an evolving public-private partnership model. The termination of Be Well OC’s contract at the Orange campus coincides with the Newport Beach City Council’s decision to end a $2.1 million contract with the nonprofit for a street health program, due to perceived shortcomings in achieving “street exits” or transitioning homeless individuals into housing.
Despite these setbacks, Be Well OC continues to work with OCHCA on establishing a second Mental Health and Wellness Campus at Great Park in Irvine. Franks noted that this new project remains unaffected by the recent developments.
As a result of the termination, approximately 100 Be Well OC staff members face layoffs, marking a significant shift in the county’s approach to mental health and crisis intervention services.
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