This report from a study group on long-term mental illness (LTMI) examines three components of the vocational rehabilitation process (the client, the counselor, and the programs) and the systems through which the three components interact. The first chapter discusses the history and evolution of the vocational rehabilitation (VR) and mental health delivery systems. Other chapters focus on defining the population of individuals with severe LTMI, role of the VR counselor, service models or organizational approaches to facilitate successful rehabilitation, community resources available, unresolved interagency problems surrounding the delivery of rehabilitation services, and the process of interagency collaboration. Appendices contain a sample interdepartment cooperative agreement between a mental health agency and a vocational rehabilitation agency; definitions of severity classifications; a functional assessment chart; a resource assessment chart; a vocational rehabilitation plan; information on training for service providers; and descriptions of 49 organizational resources that provide information, advocacy, funding, research, and other services in the field of long-term mental illness. (Includes 55 references.) (JDD)