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  Consent-Health & Human Services   # 18.       
Board of Supervisors Adult & Aging  
Meeting Date: 01/14/2020  
Brief Title:    BHC Heritage Oaks Hospital FY19-22
From: Karen Larsen, Director, Health and Human Services Agency
Staff Contact: Sandra Sigrist, Adult and Aging Branch Director, Health and Human Services Agency, x8794
Supervisorial District Impact:

Subject
Approve agreement with BHC Heritage Oaks Hospital to provide Acute Psychiatric Inpatient Hospital services in the amount of $540,000 per fiscal year for three years for a total contract maximum of $1,620,000 for the period July 1, 2019 through June 30, 2022 and delegate authority to the Health and Human Services Agency director to approve Option Year Letters for fiscal years 2022-23 and 2023-24. (No general fund impact) (Larsen)
Recommended Action
  1. Approve agreement with BHC Heritage Oaks Hospital to provide Acute Psychiatric Inpatient Hospital services in the amount of $540,000 per fiscal year for three (3) years for a total contract maximum of $1,620,000 for the period July 1, 2019 through June 30, 2022; and
     
  2. Delegate authority to the Director of the Yolo County Health and Human Services Agency or her/his designee to approve Option Year Letters not to exceed $540,000 per fiscal year, for a 5-year maximum payment obligation not to exceed $2,700,000 (Please see Section III. And IV. of Att. A. Agreement.).
Strategic Plan Goal(s)
Operational Excellence
Thriving Residents
Safe Communities
Reason for Recommended Action/Background
California state law mandates the County to provide psychiatric inpatient hospital services to eligible Medi-Cal and non-Medi-Cal mental health consumers.  Woodland Memorial Hospital is the designated and responsible hospital to provide these services to Yolo County residents adults (age 18 or older) who meet California Welfare and Institutions Code criteria and/or who are a danger to self, others or are gravely disabled and require inpatient acute psychiatric services.
 
When no adult bed space is available at Woodland Memorial Hospital, or when a child or adolescent is in need of services, the patient must be treated by another qualified psychiatric hospital facility in the surrounding area.  BHC Heritage Oaks Hospital, being such a facility, is equipped to provide appropriate services to meet our clients’ needs.
 
The County is responsible for serving all Yolo County Medi-Cal beneficiaries regardless of age.  The Contractor is not certified to bill Medi-Cal for services provided to Yolo County Medi-Cal beneficiaries whose age is between 21 and 64 years of age. Thus, federal financial participation (FFP) is not available for these services. The stated contract amount is to be used for funding the services related to this particular group.
 
For services provided to Yolo County Medi-Cal beneficiaries whose age is either 20 or younger, or 65 or older, the payment to the Contractor for this population is not paid directly via the County.  The Contractor bills Medi-Cal directly to receive funding via FFP and the County’s mental health realignment funds.  The State then reduces the amount used for this purpose from the monthly realignment apportionment to the County. 
 
All services described above require HHSA approval.  The contract details the approval process and method of payment.  HHSA monitors the use of the services regardless of the patient’s age.  The HHSA budget includes the estimated funding need for all services.
 
This agreement also delegates authority to the HHSA Director or her/his designee to approve two Option Year Letters not to exceed $540,000 per fiscal year, for FYs 2022-23 and 2023-24, for a 5-year maximum payment obligation not to exceed $2,700,00. (Please see section III and IV. of Att. A. Agreement.)

Thus, staff recommends approval of this Agreement in order for the County to continue to provide Acute Psychiatric Inpatient services to adults with serious mental illness (SMI); and delegation of authority to the HHSA Director for the approval and execution of Option Year letters for FYs 2022-23 and 2023-24.

The Performance Measures associated with this agreement are included in Attachment B.
Collaborations (including Board advisory groups and external partner agencies)
County Counsel has approved this Agreement as to form.
Competitive Bid Process
This agreement is being sought out by a Sole Source which has been approved by Procurement.

Fiscal Impact
Fiscal impact (see budgetary detail below)
Fiscal Impact (Expenditure)
Total cost of recommended action:    $   540,000
Amount budgeted for expenditure:    $   540,000
Additional expenditure authority needed:    $  
On-going commitment (annual cost):    $   540,000
Source of Funds for this Expenditure
$540,000
Explanation (Expenditure and/or Revenue)
Further explanation as needed:
No general funds are required by this action. These services will be funded by Mental Health Realignment. The total amount of this action is $1,620,00 for the period of July 1, 2019 through June 30, 2022 with an amount of $540,000 for fiscal year 2019-20.  The amount of $540,000 is included in the HHSA proposed budget for FY 2019-20. The related funding will be included in the requested budget process for future fiscal years.
 
The following is the breakdown of funding for this agreement.
 
Fiscal Year 19-20 July 1, 2019
through
 June 30, 2020
Fiscal Year 20-21 July 1, 2020
through
 June 30, 2021
Fiscal Year 21-22 July 1, 2021
through
 June 30, 2022
Total
$540,000 $540,000 $540,000 $1,620,000
 
The agreement also includes 2 option years of one-year extension options for FY’s 2022-23 and 2023-24 in an amount less than or equal to $540,000.
 
In no event shall the term of the agreement extend beyond June 30, 2024 nor shall the total contract maximum exceed, including the 2 option years of one-year extension options, the amount of $2,700,000, unless otherwise agreed to in writing by the parties and in conformity with the then-current Yolo County Procurement Policy approved by the Yolo County Board of Supervisors.
 
Option Year/
Fiscal Year
Maximum Agreement Term Extension Per Option Year/Fiscal Year Increased Funding Amount Per Option Year/
Fiscal Year
Revised Agreement 
Lifetime Maximum

 
First/
(FY 22-23)
On or before
June 30, 2023
Less than or equal to $540,000 Less than or equal to $2,160,000
Second/
(FY 23-24)
On or before
June 30, 2024
Less than or equal to $540,000 Less than or equal to $2,700,000
Attachments
Att. A. Agreement
Att. B. Performance Measures

Form Review
Inbox Reviewed By Date
Financial Services mqader 12/20/2019 03:17 PM
County Counsel Hope Welton 12/20/2019 03:34 PM
Form Started By: Kimberly Mayfield Started On: 04/30/2019 03:01 PM
Final Approval Date: 12/30/2019

    

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