DATE: March 5, 2024
TO: Board of Supervisors
SUBMITTED BY: Susan Holt, Director, Department of Behavioral Health
SUBJECT: Amendment II to Master Agreement for Specialized Residential Mental Health Services
RECOMMENDED ACTION(S):
TITLE
1. Under Administrative Policy No. 34 for competitive bids or requests for proposals (AP 34), determine that an exception to the competitive bidding requirement under AP 34 is satisfied and a suspension of competition is warranted due to unusual or extraordinary circumstances, and that the best interests of the County would be served by entering into a master agreement as the contractors are the only vendors eligible to provide supplemental residential board and care home services; and,
2. Approve and authorize the Chairman to execute Amendment II to Master Agreement to add BHC Alhambra Hospital, Inc. d.b.a. BHC Alhambra Hospital, with no change to the term of July 1, 2023 to June 30, 2025, or compensation maximum of $13,500,000.
REPORT
Approval of the recommended actions will allow the Department of Behavioral Health to add BHC Alhambra Hospital, Inc. d.ba. BHC Alhambra Hospital (BHC), a residential eating disorder treatment provider, to the Specialized Residential Mental Health Services Master Agreement. This item is countywide.
ALTERNATIVE ACTION(S):
Should the Board not approve of the recommended actions, the Department would not be able to appropriately place adult persons served who require residential eating disorder treatment services.
SUSPENSION OF COMPETITION/SOLE SOURCE CONTRACT:
It is requested that the County find under AP No. 34 that an exception to the competitive bidding requirement is satisfied, and a suspension of competition is warranted due to unusual or extraordinary circumstances as the prospective contractor is the only vendor eligible to provide adult residential services for eating disorder treatment. The Internal Services Department - Purchasing concurs with the Department’s assessment that this satisfies the exception to the competitive bidding process required by AP 34.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. The maximum compensation in FY 2023-24 is $6,500,000. The maximum compensation for the term is $13,500,000. The recommended agreement is funded with Mental Health Realignment. Sufficient appropriations and estimated revenues are included in the Department’s Org 5630 FY 2023-24 Adopted Budget and will be included in future budget requests for the duration of the term. Actual costs will be determined by actual services provided.
DISCUSSION:
On June 20, 2023, your Board approved Master Agreement No. A-23-283 with licensed and credentialed facilities to provide specialized residential mental health services for County persons served, as mandated by the WIC and CCR Title 22.
On August 22, 2023, your Board retroactively approved Amendment I No. A-23-415 to the Master Agreement to revise Exhibit B-5 for a provider whose Cal AIM determined rates were modified by their host County.
Two eating disorder providers are currently contracted with the County of Fresno under the Master Agreement. Neither provider offers adult residential services for eating disorder treatment. The DBH Eating Disorder team has identified a need for this level of care for County persons served. An adult person served requiring this level of treatment could not be placed at either of the contracted facilities. After a collective effort from DBH Contracts and the Eating Disorder team, BHC Alhambra Hospital, Inc. d.b.a. BHC Alhambra Hospital was contacted to provide this level of care. Approval of the recommended actions will add BHC to the Master Agreement.
OTHER REVIEWING AGENCIES:
The Fresno County Behavioral Health Board was informed of the recommended agreement at their February 2024 meeting.
REFERENCE MATERIAL:
BAI #44, June 20, 2023
BAI #26, August 22, 2023
ATTACHMENTS INCLUDED AND/OR ON FILE:
Suspension of Competition Acquisition Request
On file with Clerk - Amendment II to Master Agreement
CAO ANALYST:
Ronald Alexander