DATE: December 9, 2025
TO: Board of Supervisors
SUBMITTED BY: Paul Nerland, County Administrative Officer
Susan Holt, Director, Department of Behavioral Health
SUBJECT: Amendment No.2 to Agreement with RH Community Builders LP - Master Leasing Program
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute Amendment No. 2 to Agreement No. 22-267 with RH Community Builders LP, effective upon execution, with no change to the term of July 1, 2022, through June 30, 2027, and increasing the maximum compensation by $573,091 to a total of $6,966,277.
REPORT
There is no additional Net County Cost associated with the recommended action, which will increase the inventory of Master Leasing Program (MLP) apartment units by ten, from 68 to a total of 78 rental units, increase the maximum compensation payable under the Agreement by $573,091, and allow the County to meet the January 1, 2026, implementation deadline to administer Transitional Rent benefits. This item is countywide.
ALTERNATIVE ACTION(S):
If the recommended action is not approved, the County would not have sufficient readily available permanent housing capacity to support implementation of Transitional Rent benefits in line with the January 1, 2026 deadline.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. Approval of the recommended action will increase the maximum compensation by $573,091, to a total of $6,966,277. The $573,091 increase in compensation will be fully offset with revenue from Managed Care Plan (MCP) reimbursements for Housing Deposits ($240,000) and Transitional Rent ($216,000), BHSA funds ($97,091), and Client Rents ($20,000). Sufficient appropriations and estimated revenues are included in the Department of Behavioral Health's (DBH) Org 5630 FY 2025-26 Adopted Budget and will be included in future budget requests for the remainder of the term.
DISCUSSION:
On June 21, 2022, the Board approved Agreement No. 22-267 (Agree...
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