A court-appointed committee reported yesterday that the District has failed to integrate the city's mentally ill into the community, charging that some group homes are substandard and that some patients discharged from St. Elizabeths Hospital are referred directly to homeless shelters.

The report by the mental health monitoring group, which concluded that there is an absence of coordination of services necessary for the mentally ill to function outside an institutional setting, also found that:Caseworkers falsified reports to conceal that only eight out of 18 clients questioned had actually been visited by a caseworker. In addition, some caseworkers, a crucial link between the mentally ill and the services designed to aid them, meet with clients only at the caseworkers' convenience. The typical waits for treatment at community mental health centers, even with appointments, are from four to six hours. At some group homes, mentally ill people are restricted to certain areas and are denied participation in activities, such as grocery shopping, cooking and doing laundry, that would foster independence.

The critical assessment comes at a time when the city is moving to reduce the patient population of St. Elizabeths Hospital and is planning to create 47 group homes for the mentally ill in the next four years. Advocates have said in the past that the city's fragmented services, in addition to failing to meet the client's needs, have fostered opposition in neighborhoods where the city wants to find homes for the mentally ill.

The report was prepared by the Dixon Implementation Monitoring Committee, the designated watchdog of city efforts to comply with a 1980 court-ratified agreement to establish a community-based mental health system for the 6,000 to 8,000 mentally ill people who rely on public services.

Robert Washington, the city's new mental health commissioner, denied yesterday that caseworker reports had been falsified but said that most of the other findings in the Dixon committee report are accurate.

"It is going to take years to create a system to meet all of the standards in the 1980 agreement," said Washington. "I view the report as one that speaks to the frustration of the Dixon committee and the Mental Health Law Project after 12 years of litigation and a lack of movement. I think the pace has been picked up significantly in the last year."

Norman Rosenberg, director of the Mental Health Law Project, said that although the mental health commissioner had made plans to improve the system, the changes have not taken place fast enough. Rosenberg said that if the city did not correct the problems, the Mental Health Law Project would take steps to force the city into compliance.

"The focus of the {monitoring} reports have changed, but every place we look in the D.C. system, we come up with a pretty dismal picture," said Rosenberg. "The implications are serious and the city needs to move quickly to clean up the community residential facilites that are not adequate. We can no longer rely on assurances of things that will be done in the future."

The Dixon committee, based on interviews and observations between March 1986 and October, concluded that, despite efforts by the city's new mental health commission, "we have yet to see significant improvement in the delivery of services."

The committee, criticized mental health clinics and St. Elizabeths Hospital for referring clients to shelters for the homeless. There are 2,000 to 3,000 homeless mentally ill people in the District.

Washington said that the crisis intervention unit of D.C. General Hospital makes such referrals but denied that St. Elizabeths does so.

During visits to 14 group homes, the committee found that none complied with the agreement for "small and homelike" facilities. In one home, the report said, the communal space was a "basement room thick with tobacco smoke and lined with chairs around the room, creating an environment similar to a hospital day room."

The city's system of monitoring the conditions in such homes is seriously flawed, according to the committee, which found that despite glowing city reports on conditions in some homes, there were major health and safety violations.

Although a city report described one home as "very neat and clean," the Dixon committee said it saw that the home's "bed linen was filthy . . . tin cans were supplied for ashtrays . . . cockroaches were crawling on the doorframe, the bare floor was swept only in the middle of the room."

The committee recommended that three homes be closed.

Washington said Mayor Marion Barry, city officials and representatives of the panel and the Mental Health Law Project will meet today.