Approve second amendment to Agreement No. 23-200 with Psynergy Programs, Inc. to extend the term of the agreement through June 30, 2025; and add funding in the amount of $609,030 by adding $109,030 to 2023-24 and $500,000 to 2024-25, for a new contract maximum of $1,241,997, for the period of July 1, 2023 through June 30, 2025, for the provision of acute and/or sub-acute psychiatric inpatient services or specialty mental health services. (No general fund impact) (Sullivan)

Approve second amendment to Agreement No. 23-200 with Psynergy Programs, Inc. to extend the term of the agreement through June 30, 2025; and add funding in the amount of $609,030 by adding $109,030 to 2023-24 and $500,000 to 2024-25, for a new contract maximum of $1,241,997, for the period of July 1, 2023 through June 30, 2025, for the provision of acute and/or sub-acute psychiatric inpatient services or specialty mental health services.

Psynergy Programs provides reliable adult residential home care in combination with intensive outpatient mental health services which assist individuals with mental illness to avoid the unnecessary expense and emotional trauma often associated with incarceration and hospitalization. The goals of Psynergy Programs’ services are to improve each individual’s quality of life, to help individuals gain the skills and ability necessary to stay out of locked hospital settings, and to move into a less restrictive living arrangement in the community.

California Advancing and Innovating Medi-Cal (CalAIM) Initiative
In January 2022, California Department of Health Care Services (DHCS) rolled out the CalAIM initiative that aims to provide broad delivery system program and payment reform across the Medi-Cal system. The goal is transformation of the Medi-Cal delivery system, moving it towards a population health approach that prioritizes prevention and whole person care. Focus shifts from compliance to quality and performance metrics.

On July 25, 2023, the County and Psynergy Programs entered into Agreement No. 23-200, with a term of July 1, 2023, through June 30, 2024, for the provision of acute and/or sub-acute psychiatric inpatient services or specialty mental health services.

On or about February 13, 2024, the Parties amended the agreement to add funding in the amount of $132,967 for 2023-24.

HHSA requests approval of this amendment which extends the term of the agreement through June 30, 2025, and adds additional funding in the amount of $109,030 for 2023-24 and $500,000 for 2024-25. The funding is needed due to the number of clients that have been served this year and that are projected to be served in 2023-24 and 2024-25.

Performance Measures included in this Agreement are as follows:
The Performance Measures were included in the underlying Agreement and are not being revised at this time (See Att. B. Performance Measures).

HHSA confirms Psynergy Programs has performed satisfactorily under this Agreement. In the first half of FY2324, the facility provided 14,568 days of residential treatment services to 6 individuals. 100% of clients have successfully maintained placement, and 75% are actively meeting their treatment goals.

County Counsel has approved of the amendment as to form.
General Services Department, Procurement Division.

On or about May 16, 2022, the then acting Yolo County Procurement Manager approved a sole source letter in conformance with the then current Yolo County Procurement Policy. Procurement reviewed HHSA’s request and determined that it was in the best interest of the County, based on satisfactory service/reasonable prices and to avoid the interruption of County business. Factors considered, included but were not limited to:

1) the County’s ongoing challenges to find appropriate placements for seriously mental ill adults; 2) Psynergy Programs is equipped to divert higher needs clientele from state hospitals with high level of support structured into their varied campuses; 3) competitive pricing/cost, Psynergy Programs works with the County to determine the daily patch rate based on client needs; and 4)  the County would lose the ability to place consumers in adult residential board and care homes (ARF) provided by Psynergy Programs within proximity. The County would be limited in its ability to identify and place consumers quickly into facilities offering this appropriate level of care, and in some cases would be unable to meet federally mandated standards regarding the provision of care for consumers.

No general funds are required by this action. These services will be funded by Realignment. The action increases the contract maximum by $609,030 for a total of $1,241,997 for the period of July 1, 2023 through June 30, 2025. The amount of $109,030 is included in the HHSA adopted budget for fiscal year 2023-24. The related funding will be included in the requested budget process for future fiscal years.