Approve second amendment to Agreement No. 23-149 with North Valley Behavioral Health to add funding in the amount of $233,988 for FY 2023-24; extend the term of the agreement through June 30, 2025; add funding in the amount of $2,000,800 for FY 2024-25 for a new contract maximum of $5,855,538 for the period of July 1, 2023 through June 30, 2025; add rates for FY 2024-25; and add a one-year extension option year for FY 2025-26, for the provision of Adult Inpatient Psychiatric Health Facility Services. (No general fund impact) (Sullivan)

 

North Valley Behavioral Health operates two multidisciplinary inpatient Psychiatric Health Facilities (PHF). The programs offer a patient-centered, “Patient’s First” philosophical approach and is guided by a multidisciplinary team that provides individualized pharmacological, therapeutic, and rehabilitative interventions in a safe and secure environment.  Eligible clients are Yolo County residents who are 18 years or older with serious mental illness (SMI), who are deemed in need of the highest level of care provided in a non-state (local) hospital like facility.

California Advancing and Innovating Medi-Cal (CalAIM) Initiative
In January 2022, California Department of Health Care Services (DHCS) rolled out the CalAIM initiative that aims to provide broad delivery system program and payment reform across the Medi-Cal system. The goal is transformation of the Medi-Cal delivery system, moving it towards a population health approach that prioritizes prevention and whole person care. Focus shifts from compliance to quality and performance metrics.

On July 20, 2021, the County and North Valley Behavioral Health entered into Agreement No. 21-140 for the provision of psychiatric health facility (PHF) services. Agreement No. 21-140 was terminated and replaced in its entirety with Agreement No. 23-149 effective July 1, 2023. This was due to a change in programmatic regulatory requirements and updated billing/claiming requirements.

On or about February 27, 2024, Agreement No. 23-149 was amended to add funding in the amount of $1,605,950 for Fiscal Year 2023-24. The funding was needed to meet the needs of current clients and projected clients to be served through the fiscal year.

This second amendment to Agreement No. 23-149 adds funding in the amount of $233,988 to cover FY 2023-24 invoices for services that are mandatory for the county to provide. The amendment also extends the term of the Agreement and adds funding that will allow for the continuation of these crucial services and adds a facility rate for FY 2024-25.

The second amendment to Agreement No. 23-149 further authorizes the County to extend the Agreement for FY 2025-26 with a maximum funding amount of $2,000,800 for the one-year extension period, which would result in a new contract maximum of $7,856,338 if the County exercises the extension option. The recommended action includes delegation of the decision to exercise the one-year extension to the HHSA Director or the Director's designee. 

Performance Measures
The Performance Measures were included in the underlying Agreement and are not being revised at this time (See Att. B. Performance Measures).

County Counsel has approved the Amendment as to form
General Services Department, Procurement Division
 

On or about July 20, 2021, the Yolo County Procurement Manager approved a sole source letter in conformance with the then current Yolo County Procurement Policy. The sole source was approved to cover a term through 2025-26.

If the sole source were not approved, the County would not have the much-needed dedicated beds to provide services to meet the crisis needs of its residents.

North Valley Behavioral Health offers client-centered, accessible, comprehensive, quality, and affordable inpatient psychiatric service center that can be available to the County without wait times. North Valley Behavioral Health is the only local provider of psychiatric health facility services that can accommodate HHSA’s need for six (6) dedicated beds. The price of each contracted bed is reasonable and the bed costs are Medi-Cal reimbursable.