DATE: October 20, 2026
TO: Board of Supervisors
SUBMITTED BY: Susan L. Holt, Director, Department of Behavioral Health
SUBJECT: Agreement with Hope & Healing Family Therapy Center, Inc.
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute an Agreement with Hope & Healing Family Therapy Center, Inc. for Adult Day Rehabilitation and Day Treatment Intensive services, effective upon execution through June 30, 2031, which includes a two-year and nine-month base contract and two optional one-year extensions, total not to exceed $5,625,355.
REPORT
There is no additional Net County Cost associated with the recommended action. The recommended action will allow the Department to provide Adult Day Rehabilitation (DR) and Day Treatment Intensive (DTI) services to individuals ages 18 and older. DR/DTI services are provided as outpatient services and shall be provided to Medi-Cal beneficiaries showing medical necessity for Specialty Mental Health Services (SMHS). The County is required to provide DR and DTI services which are included as SMHS as detailed in California Code of Regulations. Title 9, §1810.247 for County Behavioral Health Plans. This item is countywide.
ALTERNATIVE ACTION(S):
Should your Board not approve the recommended action, the Department would be unable to provide DR and DTI services to Medi-Cal beneficiaries. Without this agreement, the County will remain out of compliance with regulations which may result in sanctions and loss of Medi-Cal revenue.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. The maximum cost of the recommended DR and DTI Services Agreement ($5,625,355) will be funded with Medi-Cal Federal Financial Participation (FFP) and Realignment funds. Sufficient appropriations and estimated revenues are included in the Department’s Org 5630 FY 2026-27 Adopted Budget and will be included in future budget requests for the duration of the term of the Agreement. Actual costs will be determined by actual services provided.
DISCUSSION:
The Department is a Behavioral Health Plan (BHP) per California Code of Regulations Title 9, §1810.100. BHPs are required to provide SMHS to Medi-Cal beneficiaries. DR and DTI services are SMHS as detailed in California Code of Regulations Title 9, §1810.247.
The Department released Request for Proposal (RFP) 26-057 on April 2, 2026, for the provision of Adult DR and DTI services. Addendum No. 1 to the RFP was issued on April 23, 2026, to respond to questions from potential bidders. The RFP closed on May 8, 2026. Three (3) bids were received: Hope & Healing Family Therapy Center, Inc. ($5,167,321), Inspire Psychological Services, Inc. ($5,434,150), and River Vista Behavioral Health ($45,091,726). The proposals were received and ranked by an evaluation committee according to Purchasing guidelines based on a comprehensive review of the proposal contents which included but was not limited to: Summary of Scope of Work Proposal Requirements, Cost Proposals, and Vendor Company Data. The evaluation committee consisted of one Department of Behavioral Health Staff Analyst, one Department of Social Services Staff Analyst, one Department of Behavioral Health Fiscal Analyst and two Department of Behavioral Health Utilization Review Specialists, who reviewed the proposals. Hope & Healing Family Therapy Center, Inc. was selected as the most qualified bidder to best meet the needs of the County and was tentatively awarded as the most responsive and advantageous to the County.
The recommended Agreement will authorize the Department to provide required Adult DR and DTI services to persons served in the County. DR is a structured program which provides services to a distinct group of individuals. DR is intended to improve or restore personal independence and functioning necessary to live in the community or prevent deterioration of personal independence consistent with the principles of learning and development. DTI is a structured, multi-disciplinary program which provides services to a distinct group of individuals. DTI is intended to provide an alternative to hospitalization, avoid placement in a more restrictive setting, or assist the person served in living within a community setting.
AB339 noticing has occurred and the Human Resources Department approved execution of the recommended Agreement.
OTHER REVIEWING AGENCIES:
The Behavioral Health Board was notified of the recommended Agreement during the October 2026 meeting.
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Agreement with Hope & Healing Family Therapy Center, Inc.
CAO ANALYST:
Ronald Alexander