COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health Services Agency

DATE:

November 29, 2004

BOARD MEETING DATE:

December 14, 2004

TO:

Honorable Board of Supervisors

FROM:

Charlene A. Silva, Director of Health Services

Gale Bataille, Director, Mental Health Services

SUBJECT:

Payroll Manager, Inc.

Recommendation

Adopt a resolution:

A) Authorizing the President of the Board to execute an agreement with Payroll Manager, Inc.; and

B) Authorizing the Director of the Health Services Agency to execute subsequent amendments and minor modifications not to exceed an aggregate of $25,000 and to make minor changes in the type of services and activities provided under the Agreement.

Background

Since 1995 the County has contracted with outside agencies to manage the fiscal administration of the Wrap-Around Funds for the Child and Youth System of Care and of the Shadow Program, and to provide oversight of the personnel administration of the Shadow Program. Wrap-Around Funds are flexible funds to purchase goods and services for children/youth with serious emotional and behavioral disorders. The Shadow Program (also funded with Wrap-Around Funds) is a mentoring program that employs adults to provide one-on-one interaction with youth referred by San Mateo County Mental Health Services.

Discussion

In July 2003, Mental Health Services issued a Request for Proposals for the provision of fiscal administration of the Wrap-Around Funds for the Child and Youth System of Care and the Shadow Program, and to provide oversight of the personnel administration of the Shadow Program. Payroll Manager, Inc. was the only agency that submitted a proposal and subsequently was selected to provide these services in August 2003. We are renewing this Agreement for FY 2004-05.

Upon receiving Mental Health Services Division authorized requests for Shadow and/or Wrap-Around funded goods and services, the Contractor issues a check for the amount requested to the specified vendor or to reimburse a provider. Each month the Contractor is reimbursed for the previous month’s Shadow Program and/or Wrap-Around expenditures. The Contractor is paid an administrative fee in the amount of fifteen percent of these expenditures.

Performance Measure

2003-04 Objectives

2003-04 Actuals

2004-05 Objectives

Minimum percent of regular check requests received by Contractor from County by 5:00 PM Tuesday resulting in checks issued the following Monday.

95%

95%

95%

Vision Alignment

The Agreement with Payroll Manager, Inc. keeps the commitment to Ensure Basic Health and Safety for All and goal number 8: Help vulnerable people - the aged, disabled, mentally ill, at risk youth, and others - achieve a better quality of life. The Agreement contributes to this commitment and goal by providing fiscal and personnel administrative services.

Fiscal Impact

The term of the Agreement is July 1, 2004 through June 30, 2005. This Agreement has been reviewed and approved by Risk Management and County Counsel.

The Agreement maximum of $290,800 covers FY 2004-05. $252,870 of the Agreement maximum is for Shadow, Wrap-Around funded goods and services, and $37,930 is Contractor’s maximum administrative fee. The State Department of Social Services Wrap-Around pilot project funds (DSS SB 163) cover 86% or $250,000 of the costs for the Wrap-Around Funds and Shadow Services fiscal administration service. The SAMSHA (Substance Abuse and Mental Health Services) grant will fund $5,800 of this contract. Realignment will fund the balance of $35,000. There is no net County cost.