TO: Board of Supervisors
FROM: Jennifer Yasumoto, Health & Human Services
REPORT BY: Gaby Angeles, Staff Services Analyst II
SUBJECT: Amendment to Agreement with Aldea, Inc. (Outpatient Youth Treatment Services - Drug Medi-Cal Organized Delivery System)
RECOMMENDATION
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Director of Health and Human Services requests approval of and authorization for the Chair to sign Amendment No. 4 to Agreement No. 190290B with Aldea, Inc., decreasing the amount by $291,012 for a new maximum of $274,460 based upon contractor’s historical utilization over the prior two fiscal years, for the term July 1, 2021 through June 30, 2022 and each automatic renewal thereof, replacing the Scope of Work and Compensation and Expense Reimbursement exhibits, and amending the Specific Terms and Conditions to revise the amount of Federal funding to provide youth substance abuse treatment services.
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EXECUTIVE SUMMARY
Aldea, Inc. (contractor) is an established organization, certified by the State of California, Department of Health Care Services as a Drug Medi-Cal provider, which provides mental health and substance use disorder treatment to youth clients in Napa County. The purpose of today's requested action is to amend the Agreement to:
1) Decrease the contract maximum by $291,012 for a new maximum of $274,460;
2) Replace Exhibit A with Exhibit A-1 in order to increase referrals to the program;
3) Replace Exhibit B-2 with Exhibit B-3 to include an increase to the Drug Medi-Cal rates for services covered by this Agreement and a budget for outreach services; and
4) Amend Specific Term and Condition 3.4 to revise the amount of Federal funding contractor will receive under this Agreement.
The reduction in the contract maximum is based upon contractor’s historical utilization over the prior two fiscal years, which has approximated 30% of the prior maximum, and incorporates a plan for increased utilization.
Contractor is a local vendor.
FISCAL & STRATEGIC PLAN IMPACT
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Is there a Fiscal Impact? |
Yes |
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Is it currently budgeted? |
Yes |
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Where is it budgeted? |
Health & Human Services Alcohol & Drug Services |
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Is it Mandatory or Discretionary? |
Mandatory |
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Is the general fund affected? |
No |
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Future fiscal impact: |
This Amendment will ensure contractor is able to continue providing youth substance use treatment services in Napa County. This is a required service under Napa County's agreement with DHCS to participate in the Drug Medi-Cal Organized Delivery System (DMC-ODS). |
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Consequences if not approved: |
If this Amendment is not approved, the contractor will not receive a rate increase for youth treatment services nor will they be able to provide outreach services funded through this agreement, which could increase referrals and treatment for youth in the community. |
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County Strategic Plan pillar addressed: |
Healthy, Safe, and Welcoming Place to Live, Work, and Visit |
ENVIRONMENTAL IMPACT
ENVIRONMENTAL DETERMINATION: The proposed action is not a project as defined by 14 California Code of Regulations 15378 (State CEQA Guidelines) and therefore CEQA is not applicable.
BACKGROUND AND DISCUSSION
The contractor is an established organization that provides mental health and substance use disorder treatment to youth clients in Napa County. The contractor is certified by the State of California, Department of Health Care Services (DHCS) as a Drug Medi-Cal provider. As of 12/15/2017, Napa County holds a contract with DHCS to provide enhanced substance use disorder treatment under the Drug Medi-Cal Organized Delivery System (DMC-ODS).
On April 23, 2019, the County executed an agreement with the contractor to provide outpatient treatment services to Napa County youth dealing with substance use disorders. The contractor holds the necessary state certification to provide these services and has been providing similar services through agreements with both the Probation Department and Health and Human Services Agency. This Agreement consolidated those services and enabled the County to receive partial reimbursement for the cost of these services through the Federal Medicaid system.
This amendment will modify the Scope of Work to include outreach services in order to increase referrals to the program. This amendment also modifies the Compensation exhibit to include the following: a) an increase to the Drug Medi-Cal rates for services covered by this contract; b) a decreased contract maximum based on an updated treatment utilization estimate; and c) the inclusion of a budget for outreach services. The contractor has used 30% or less of available contract maximum in the prior two years. This amendment will better align utilization with the contract maximum.
Contractor is a local vendor.