City of Los Angeles wins $1.6M patient-dumping settlement

The city of Los Angeles has won a $1.6 million settlement with an area hospital over charges that the hospital dumped psychiatric patients on the city's Skid Row. College Hospital Costa Mesa and College Hospital Cerritos will pay $1.2 million in charitable contributions to area groups caring for the mentally ill and homeless, as well as paying a $400,000 fine to the city.

The two facilities managed by privately-owned College Health Enterprises of Santa Fe Springs, CA, have agreed not to transport discharged psych patients to streets or shelters within a newly-created "patient safety zone" around Skid Row. The two facilities will also implement written discharge planning policies within one year.

The settlement follows a series of actions by Los Angeles city attorney Rocky Delgadillo to rein in what his office sees as abusive practices of the state's healthcare organizations, including Blue Shield of California and several other hospitals.

To learn more about the recent settlement:
- read this Modern Healthcare piece (reg. req.)

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