This monograph is intended to serve as a practical resource for student affairs administrators, mental health professionals, campus attorneys, and others involved in formulating and implementing policies and procedures related to the dismissal of college and university students with mental disorders. One section covers legal issues surrounding Section 504 of the Rehabilitation Act of 1973 what it does and does not prohibit and due process. The basic elements of a psychiatric withdrawal policy are outlined; these include a clear statement of policy, adequate advance notice, reliance upon independent psychiatric evaluation, review by campus administration, informal review by student, legal counsel during proceedings, and a statement of reasons for the decision. There is also discussion of other policy considerations, such as the limitations of psychiatric evaluations and appropriate decision criteria. A checklist for responding to students with mental disorders is included. Appended is a case study of a student and a list of related cases. (Contains 40 references.) (CH)