Comment 3 for bug 1607309

The health monitor is working correctly in octavia (per your captured output). The issue here is the CLI request using the neutron client is querying the neutron database for the status information, which is not being updated correctly.

I am going to mark this as duplicate as the issue is actually in neutron-lbaas and being tracked there. See: https://bugs.launchpad.net/neutron/+bug/1548774