The settlement brought about a significant transformation of New Jersey’s mental health service system. The state greatly expanded supported housing and other community services for people with serious mental illness, helping thousands of people avoid needless hospitalization. It also made community mental health services more robust to ensure that people with the most significant disabilities are successfully served in supported housing, improved hospital discharge planning practices, and secured additional federal Medicaid dollars to finance community mental health services. As a result of the state’s efforts, the census of New Jersey’s state psychiatric hospitals has decreased by more than one-third since the time that the case was filed.
http://www.bazelon.org/drnj-v-velez/#:~:text=NEW%20JERSEY%20v.-,VELEZ,of%20people%20avoid%20needless%20hospitalization.