Orange County takes over Be Well OC mental health campuses

Orange County will take over two Be Well OC mental health campuses in Orange and Irvine after settling litigation with nonprofit Mind OC over ownership, leases and management of the facilities, Voice of OC reported.

The settlement shifts control of major behavioral health facilities to the county Health Care Agency after a dispute that included allegations by both sides that were not decided in court.

Voice of OC reported that the settlement, signed Oct. 5, ends litigation between Orange County and Mind OC over two Be Well OC mental health campuses. The county Health Care Agency is set to take over the Orange facility and an Irvine campus that was completed but never opened during the litigation.

Under the agreement, Mind OC will transfer needed operational materials and existing subleases to the county during an expected 90-day transition, according to Voice of OC. The nonprofit will keep around $2.1 million that had been contested as part of the dispute.

Mind OC sued Orange County in 2024, alleging county leaders violated the ground lease and carried out a hostile takeover of the Orange facility, Voice of OC reported. County lawyers filed a cross complaint claiming Mind OC violated dozens of lease terms and improperly kept millions of dollars.

Neither side’s allegations were decided in court. Voice of OC reported that the settlement also includes an agreement by both sides not to disparage one another and requires county auditors not to begin new investigations into Mind OC.

The Orange site opened in 2021. Voice of OC reported that Orange County contributed over $16 million to construction of that site, while Mind OC helped organize a $12 million donation and leased the building for $1 a year.

Voice of OC reported that some cities have dropped Mind OC as their contractor for mental health services.