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Consent-Health & Human Services # 14.
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| Board of Supervisors |
Adult & Aging |
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| Subject |
| Approve second amendment to agreement with BHC Sierra Vista Hospital, Inc., dba Sierra Vista Hospital to increase the contract amount by $600,000 for a new contract maximum amount of $1,730,000 to provide acute psychiatric inpatient hospital services to Yolo County residents for the period July 1, 2014 through June 30, 2017. (No general fund impact) (Planell) |
| Recommended Action |
| Approve second amendment to agreement with BHC Sierra Vista Hospital, Inc., dba Sierra Vista Hospital to increase the contract amount by $600,000 for a new contract maximum amount of $1,730,000 to provide acute psychiatric inpatient hospital services to Yolo County residents for the period July 1, 2014 through June 30, 2017. |
| Strategic Plan Goal(s) |
Operational Excellence
Thriving Residents
Safe Communities |
| Reason for Recommended Action/Background |
California state law mandates that psychiatric inpatient hospital services be provided to eligible Medi-Cal and non-Medi-Cal mental health consumers. Woodland Memorial Hospital is the designated and responsible hospital to provide such services to Yolo County residents adults (age 18 or older) who meet State 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. Sierra Vista Hospital, being such a facility, is equipped to provide appropriate services to meet County patients’ needs and the County’s mandate to provide psychiatric inpatient hospital services to eligible Medi-Cal and non-Medi-Cal mental health consumers.
The stated maximum compensation for this agreement was $300,000 per fiscal year. However, for services provided to Yolo Medi-Cal beneficiaries whose age is either 20 or younger, or 65 or older, the Contractor bills Medi-Cal directly to receive funding from federal financial participation and the County’s mental health realignment funds. The State reduces the amount used for this purpose from the monthly realignment apportionment to the County. Because the payment to the Contractor is not directly via the County, these related costs are not stated in the contract. Depending on actual usage, potentially, the total cost to the county could exceed the contract maximum.
For fiscal year 2015-16 this Amendment to increase the contract is needed to align with actual monthly average expenses, as the acute inpatient hospital services have increased. This same increase will be projected for fiscal year 2016-17.
All services described above require the approval of Health and Human Services Agency. The contract details the approving process and method of payment. Health and Human Services Agency monitors the use of the services regardless of the patient’s age. The Health and Human Services Agency’s budget includes estimated funding need for all services.
The table below details the annual amounts for this Agreement.
| Funding Source: 2011 Reallignment |
Original Contract |
First Amendment |
This Amendment |
New Contract |
| FY2014-15 |
300,000 |
230,000 |
-0- |
530,000 |
| FY2015-16 |
300,000 |
-0- |
300,000 |
600,000 |
| FY2016-17 |
300,000 |
-0- |
300,000 |
600,000 |
| Total |
$900,000 |
$230,000 |
$600,000 |
$1,730,000 |
Competitive Bid Process:
On July 31, 2007, the Board of Supervisors granted an approval to Health and Human Services Agency, formerly known as the Department of Alcohol, Drug and Mental Health, for certain exceptions to the contract procurement policy. According to this approval, hospital providers are classified as “Any willing providers” and are exempt from the competitive bid process.
Contracting History:
On August 5, 2014 the Board of Supervisors approved the original Agreement with BHC Sierra Vista in the amount of $900,000 for the period July 1, 2014 through June 30, 2017.
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| Collaborations (including Board advisory groups and external partner agencies) |
County Counsel has approved this Amendment as to form.
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| Fiscal Impact |
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| Source of Funds for this Expenditure |
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Explanation (Expenditure and/or Revenue) |
| Further explanation as needed: |
| No county general funds are required for this action. The total cost of the Agreement is $1,730,000 for three (3) fiscal years. The increased amount of $300,000 is included in the Health and Human Services Agency adopted budget for fiscal year 2015-16. Health and Human Services Agency will budget the funding necessary for fiscal year 2016-17. |
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