DATE: January 8, 2019
TO: Board of Supervisors
SUBMITTED BY: Dawan Utecht, Director, Department of Behavioral Health
David Pomaville, Director, Department of Public Health
SUBJECT: Amendment to Agreement with Reading and Beyond
RECOMMENDED ACTION(S):
TITLE
Approve and authorize the Chairman to execute Amendment II to Agreement No. 15-156 with Reading and Beyond for increased salaries, operating, and administrative costs for the Supervised Child Care Services, effective upon execution with no change in term to June 30, 2020 and increasing the maximum compensation by $55,050 to a total of $720,740.
REPORT
Approval of the recommended action will increase the maximum compensation to cover unanticipated minimum wage increases required by Senate Bill 3 (Leno) (Chapter 4, Statutes of 2016), operating and administrative costs. Reading and Beyond provides direct child care services at the Department of Behavioral Health’s (DBH) Supervised Children’s Room housed at the Heritage Center and at the West Fresno Regional Center for the children of individuals receiving behavioral health and health care services. The increase will be funded with Mental Health Services Act - Community Service and Supports (MHSA-CSS) funds, with no increase in Net County Cost. This item is countywide.
ALTERNATIVE ACTION(S):
Non-approval of the recommended action will result in fewer individuals in need of behavioral health and health care services attending appointments due to lack of child care services, as without the compensation increase, Reading and Beyond will be unable to continue to operate once the minimum wage increase goes into effect.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. The recommended amendment will increase the maximum compensation by 8% or $55,050, from $665,690 to $720,740, to cover the increase in salaries ($47,512), operating expenses ($2,237) and administrative costs ($5,301). The increase is offset with MHSA-CSS funds. Sufficient appropriations and estimated revenues are included in the Department’s Org 5630 FY 2018-19 Adopted Budget and will be included in future budget requests. Actual costs will be determined by actual services provided.
DISCUSSION:
On April 21, 2015, the Board approved Agreement No. 15-156 with Reading and Beyond to provide supervised child care services at the Heritage Center and West Fresno Regional Center for individuals receiving behavioral health services from the Department, as the lack of child care is a barrier to utilizing the services for $626,940. Eliminating the barrier has provided individuals with easier access to uninterrupted on-site behavioral health services and decreased the number of missed appointments.
On November 17, 2015, the Board approved Amendment I to Agreement No. 15-156 with Reading and Beyond, increasing the total maximum compensation by $38,750, from $626,940 to $665,690, to add the Department of Public Health to the contract to allow their Black Infant Health (BIH) clients to receive Supervised Child Care Services at the DBH’s Supervised Children’s Room located at West Fresno Regional Center.
On April 4, 2016, SB 3 was approved thereby, increasing the minimum wage to $15 per hour by January 1, 2022. The Supervised Child Care Service Site Coordinators are paid at minimum wage. Approval of the recommended amendment will allow Reading and Beyond to increase staff salaries by $1 from $11 to $12 per hour, effective January 1, 2019 and from $12 to $13 per hour, effective January 1, 2020. The total salary increase is $47,512.
Additionally, since 2016, operating expenses such as Food, Program Supplies - Therapeutic, and Staff Mileage/Vehicle Maintenance have also increased each year by approximately 3.5%, or ($2,237), due to inflation as measured by the national Consumer Price Index (CPI), the agreement did not originally include an annual CPI increase.
Lastly, the administrative costs, calculated as 15% of the total budget, increased by $5,301.
With your Board’s approval, the increased salaries and operating costs for the Supervised Child Care Services will be funded with MHSA-CCS funds.
REFERENCE MATERIAL:
BAI #44, November 17, 2015, Amendment I No. 15-156-1
BAI #33, April 21, 2015, Agreement No. 15-156
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Amendment II to Agreement No. 15-156 with Reading and Beyond
CAO ANALYST:
Ronald Alexander