In December 2013, the PA DOC awarded a $91 million, five-year contract to MHM Services to provide psychiatric services to inmates in Pennsylvania correctional facilities.
As part of the new contract, MHM Services is required to meet certain incremental standards, including reducing the number of misconducts for mentally ill offenders, reducing the number of inmates recommitted to prison mental health units, and lowering the number of recommitments to prison residential treatment units.
There is incentive to meet these standards in the form of monetary reward. Failure to meet the standards incurs monetary penalties.
The PA DOC will monitor costs and recidivism rates in the upcoming years to evaluate the effectiveness of performance-based contracting for prison mental health services.