DATE: December 3, 2024
TO: Board of Supervisors
SUBMITTED BY: Susan L. Holt, Director, Department of Behavioral Health
SUBJECT: Retroactive Amendment I to Master Agreement with Various Providers for Temporary Staffing Services
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute a retroactive Amendment I to Master Agreement No. 23-301 to change the contractor name from Maxim Healthcare Staffing, Inc. to Amergis Healthcare Staffing, Inc. formerly known as Maxim Healthcare Services Holdings, Inc. as identified on their legal documents, with no change to the term of July 1, 2023 through June 30, 2025, or compensation maximum of $12,500,000.
REPORT
There is no Net County Cost associated with the recommended action, which will allow the Department of Behavioral Health to pay for services already provided by temporary staff provided through the contractor retroactive to the effective date of the legal name change and maintain a contractual relationship with the contractor which allows the Department to maintain temporary staffing assignments currently in place. The agreement terms and conditions remain unchanged. This item is countywide.
ALTERNATIVE ACTION(S):
If the Board does not approve the recommended action, the contractor will be considered terminated without cause as stated within the agreement, effective April 1, 2024, resulting in the need to attempt to recoup amounts paid to the contractor for services that were provided after March 31, 2024. Placements of current temporary staff would be terminated, and although other contractors of this master agreement are available to provide staffing candidates to replace the terminated staff, the time required to complete the recruitment, hiring, and onboarding process to replace terminated staff would cause delays impacting the service population.
RETROACTIVE AGREEMENT:
If approved, this Amendment will be retroactive to April 1, 2024, consistent with the effective date of the contractor’s legal entity name change.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. This Agreement ($12,500,000) is fully funded by Medi-Cal Federal Financial Participation, Mental Health Realignment funds, and salary cost savings from vacant positions that will be filled by this staffing agreement. Sufficient appropriations and estimated revenues are included in the Department’s Org 5630 FY 2024-25 Adopted Budget and will be included in future budget requests.
DISCUSSION:
On June 20, 2023 your Board approved Agreement No. 23-301 for the Master Agreement with Various Providers for Temporary Staffing Services. The agreement temporarily resolves the challenge of finding qualified applicants through the County of Fresno recruitment process by filling vacancies for nurses, office staff, and accounting staff.
The contractor Maxim Healthcare Staffing Services, Inc. informed the Department of Behavioral Health (DBH) in May 2024 that the legal entity name was changed to Amergis Healthcare Staffing, Inc., effective April 1, 2024. There was no change to the contractor’s organizational structure or federal tax ID through December 2024, which allowed DBH to process payment for services delivered through June 2024. Fiscal Year 2024-25 invoices will be paid as contracted services continue to be provided, and a lapse in payment would result in negative impacts to DBH service populations. Should your Board not approve this amendment, DBH will recoup payments made to the contractor going back to April 1, 2024.
This amendment formalizes the name change from Maxim Healthcare Staffing Services, Inc. to Amergis Healthcare Staffing, Inc. and does not change the rates for positions for this contractor nor affect any other contractor on this agreement.
REFERENCE MATERIAL:
BAI #46, June 20, 2023
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Retroactive Amendment I to Master Agreement
CAO ANALYST:
Ronald Alexander