Well it depends if they are using the name psychoville associated with characters with mental health problems or with psychopaths. I hope it's the latter.
The term psychotic just means 'chemical shifting of the brain' and it is misused all the time in films and tv, it is often used to describe someone that is 'psychopathic' which is wrong as a psychopath or someone that is psychopathic is a completely different thing altogether.
I think they should change the name of it as it gives out the wrong impression and makes them look prejudiced and a little stupid.