COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health Department

DATE:

April 24, 2006

BOARD MEETING DATE:

May 9, 2006

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Charlene A. Silva, Director, Health Department

Srija Srinivasan, Director, Health Policy, Planning and Promotion

SUBJECT:

Contract Amendment with the Peninsula Healthcare District to fund the Children’s Health Initiative

RECOMMENDATION:

Adopt a resolution authorizing the President of the Board to execute an amendment to the agreement with the Peninsula Healthcare District increasing the amount by $682,250 to $2,114,500 and extending the term to January 1, 2003 through December 31, 2006.

VISION ALIGNMENT:

Commitment: Ensure basic health and safety for all.

Goal: 5: Residents have access to healthcare and preventive care.

The contract contributes to this commitment and goal by evaluating the most effective approaches to providing health care coverage to all children from low-income and middle-income families.

Performance Measure(s):

Measure

2005
Actual

2006
Projected

Medi-Cal membership for children

13,500

13,700

Healthy Families membership

8,100

8,300

Healthy Kids membership

5,800

6,000

BACKGROUND:

In 2002 your Board established and funded the San Mateo County Children’s Health Initiative (CHI) to address community-wide concern for the 17,000 County children who lacked access to comprehensive health insurance coverage. With your actions, a broad-based, local coalition collaborated to develop and implement an initiative that offers all children in low-income and middle-income households comprehensive medical, dental and vision health insurance coverage. In January 2003 the Coalition moved the County closer to the Board’s vision of 100 percent coverage for children by implementing the new Healthy Kids insurance program to cover all children ineligible for the existing Medi-Cal and Healthy Families programs and by expanding outreach and enrollment efforts through partnerships with unions, childcare organizations, schools and faith-based organizations.

CHI is funded through a commitment from The County Board of Supervisors, The First 5 Commission, Sequoia Healthcare District, Peninsula Healthcare District (District) and other private funders. The District has been a funder of CHI since the program’s inception. On January 28, 2003, your board executed a resolution approving a grant agreement with the District that provided $750,000 in funding for CHI. On May 3, 2005, your board executed a resolution amending the agreement. That amendment provided $682,250 in additional funds for CHI, bringing the total amount of the agreement to $1,432,250. The agreement’s funding conditions include: the County’s commitment to match the District’s funding level and that the funding is used to support services to District residents. Funds from the agreement are paid to the Peninsula Community Foundation which administers Healthcare District and other private funding for CHI.

DISCUSSION:

Funding decisions by the District are made annually with notification received in February. This second amendment to the agreement with the District provides an additional $682,250 to fund CHI for calendar year 2006. The funding is for the residents of the District who are served by CHI. The additional funding and extension of the contract term reflects the District’s available funding for 2006 and the extension of the contract through that time frame.

County Counsel has reviewed and approved all documents.

FISCAL IMPACT:

This second amendment to the agreement is for $682,250. It increases the total contract amount to $2,114,500 and extends the term through December 31, 2006. There is no need for an Appropriation Transfer Request (ATR) because $341,125 is included in the approved budget for FY 2005-06. The remainder, $341,125, is included in the recommended budget for FY 2006-07. Approval of this item has no Net County Cost impact. The total approved CHI budget for FY 2005-06 is $8.2 million: $5.5 million is covered with contributions from First 5 San Mateo County, Peninsula and Sequoia Healthcare Districts, and foundations; the County’s Solid Waste Fund contributes $2.7 million. The recommended CHI budget for FY 2006-07 is $8.2 million.