A Laurel community group has taken its opposition to a planned state forensic psychiatric facility to court, filing a motion in Yellowstone County District Court seeking to halt all work on the project, including permitting, design, and construction.
The Lawsuit
Laurel Citizens Advocating for Responsible Economic Development — known as C.A.R.E.D. — filed a motion for a temporary restraining order and preliminary injunction in Yellowstone County District Court. The group, which formed in January 2025, is asking a judge to freeze the project while its legal complaints are resolved.
C.A.R.E.D. also filed a second complaint challenging the state’s purchase of 114 acres of farmland west of Laurel on June 12. The group contends the state paid $4.25 million in taxpayer funds for the site. The Montana Legislature appropriated $26.5 million for the facility during the 2025 session.
The Core Allegations
At the center of the complaints is a procedural argument: neither the City of Laurel nor Yellowstone County formally applied to host the facility. C.A.R.E.D. alleges that the Montana Board of Investments worked directly with Laurel’s city administrator to bring the project to the area, bypassing what the group considers a proper competitive or community-input process.
Other communities did submit bids. Hardin and Miles City both sought consideration for the facility before the state selected the Laurel site in November.
What the Facility Would Do
The planned facility is designed to house between 32 and 64 beds for individuals in the criminal justice system who require psychological evaluation to determine their fitness to stand trial. Such forensic psychiatric facilities serve a specialized population at the intersection of mental health care and the courts.
Montana has faced longstanding capacity challenges in this area, and the legislature’s $26.5 million appropriation reflected an effort to address a recognized gap in the state’s behavioral health infrastructure. A recent Yellowstone County court action involving another state permitting dispute has also drawn attention to how judges handle requests for emergency injunctive relief on projects with significant public stakes.
What’s Next
The court will decide whether to grant the temporary restraining order, which would pause the project while litigation proceeds. If granted, it could delay planning, design, and site development on a facility the state has already invested millions to advance.
The outcome will likely hinge on whether C.A.R.E.D. can demonstrate that the site selection process violated state law or that irreparable harm would result if construction moves forward. Both complaints remain pending in Yellowstone County District Court.
The dispute reflects a broader tension in Montana between state-level infrastructure planning and local community input — a dynamic that has surfaced repeatedly as the state attempts to address gaps in mental health services while managing public concern about facility siting.
