Denver, Colorado must bring in an external consultant to assess its mental health services for children following a class-action lawsuit alleging that the state’s current policies are leaving children stranded in hospital emergency rooms and institutions.
In a settlement reached in 2021, the Colorado Department of Health Care Policy and Financing agreed to fund an independent examination of its Medicaid policies without admitting to any violations of federal or state laws. The consultant’s role will be to scrutinize department data and individual case files to identify shortcomings in the behavioral health program covered by the government insurance program and suggest improvements.
The lawsuit filed by Disability Law Colorado highlighted the overreliance on institutions within Colorado’s mental health system, leading to numerous children being stuck in hospitals and residential facilities, sometimes even out-of-state. Upon discharge, these children allegedly receive inadequate follow-up care, receiving minimal medication and possibly insufficient counseling sessions, which fail to address their significant issues.
Three anonymous teenage plaintiffs, represented by Disability Law Colorado, were mentioned in the lawsuit, each struggling with severe mental health challenges. One of the plaintiffs, a 15-year-old boy from Northglenn referred to as Plaintiff A.A., repeatedly cycled through hospitals and residential facilities due to past aggressive and assaultive behavior towards family and peers.
The teen, diagnosed with reactive attachment disorder, anxiety, and disruptive mood dysregulation, has reportedly not received the intensive mental health services outlined in federal law for children on Medicaid. The lack of comprehensive services has led to these children being unjustly subjected to institutionalization, the lawsuit argued.
The settlement reached after two and a half years requires the state Health Care Policy and Finance Department to create a comprehensive plan within a year aimed at enhancing services for children covered by Medicaid. This plan, to be executed within the next five years, will include initiatives such as intensive in-home mental health services and mobile crisis intervention and stabilization services.
Similar to cases in other states, such as Illinois, Colorado’s lawsuit represents a trend towards reforming mental health systems for children. The attorney handling the Colorado case, who also had a pivotal role in the Illinois lawsuit, emphasized the need for systemic improvements rather than prolonged litigation battles.
Moving forward, the focus remains on implementing a plan that will prioritize the well-being of children with Medicaid coverage, steering them away from emergency rooms and institutions and towards more holistic community-based mental health services. The settlement signifies a significant step in acknowledging and addressing the shortcomings within the current mental health system for youth in Colorado.