COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health Department

DATE:

March 19, 2007

BOARD MEETING DATE:

March 27, 2007

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Charlene A. Silva, Director of Health

Gale Bataille, Director of Mental Health Services

SUBJECT:

Agreement with John Muir Behavioral Health Center

RECOMMENDATION:

Adopt a Resolution:

1)

Authorizing the President of the Board to execute an Agreement with John Muir Behavioral Health Center for the period March 1, 2007 through June 30, 2008 for a maximum obligation, collectively with all other hospitals that have contracted with Mental Health Services for the provision of psychiatric inpatient hospital services for San Mateo County youth and adults, in the amount of $1,764,822; and

2)

Authorizing the Director of Health or the Director's designee to execute contract amendments which modify the County's maximum fiscal obligation by no more than $25,000 (in aggregate) and/or modify the contract term and/or services so long as the modified term or services is/are within the current or revised fiscal provisions.

VISION ALIGNMENT:

Commitment: Ensure Basic Health and Safety for All.

Goal 8: Help vulnerable people―the aged, disabled, mentally ill, at-risk youth, and others―achieve a better quality of life.

This Agreement contributes to this commitment and goal by providing psychiatric inpatient hospital services for San Mateo County youth and adults.

PERFORMANCE MEASURE:

Measure

FY 2005-06
Actual

FY 2006-07
Projected

Percentage of clients re-admitted within 30 days

25%

10%

BACKGROUND:

In March 1995 your Board approved the acceptance of State and Federal funds to implement the San Mateo County Mental Health Managed Care Plan (MHP). Since 2002 John Muir Behavioral Health Center (previously known as Mt. Diablo Medical Center) has contracted with the County to provide psychiatric inpatient hospital services. These services are used to accommodate emergency admissions for San Mateo County clients in Contra Costa County. For FY 2005-06 the Mental Health Services Division contracted with Mills-Peninsula Hospitals, St. Mary’s Hospital and Medical Center, and John Muir Behavioral Health Center to provide psychiatric inpatient hospital services.

DISCUSSION:

The Mental Health Services Division is renewing agreements with Mills-Peninsula Hospitals, St. Mary’s Hospital and Medical Center, and John Muir Behavioral Health Center. This Agreement with John Muir Behavioral Health Center contains rates for psychiatric inpatient hospital services for Medi-Cal-covered adolescents and adults and rates for psychiatric inpatient hospital services for uninsured adolescents and adults. Administrative Day rates, which are reimbursed based on the rate set by the State, are also included. This Agreement is structured on the basis of fee-for-service rates. Only services authorized by San Mateo County Mental Health Services will be paid. This provider has historically been a low volume provider of these services and as of February 15, 2007, has not provided services during the current fiscal year. Under the B-1 Administrative Memorandum, psychiatric inpatient services are exempt from the requirement for a Request for Proposals process.

The term of this Agreement is March 1, 2007 through June 30, 2008. The Agreement has been reviewed and approved by Risk Management and County Counsel.

The contractor has assured compliance with the County's Contractor Employee Jury Service Ordinance, as well as all other contract provisions that are required by County ordinance and administrative memoranda, including but not limited to insurance, hold harmless, non-discrimination and equal benefits.

FISCAL IMPACT:

The maximum amount is $1,764,822. The maximum amount for FY 2006-07 is $882,411 which is collectively shared with all three contracted hospitals. The Agreement amount for FY 2007-08 will also be funded collectively among all hospitals contracting for these services. For FY 2006-07, $635,336 will be funded with State and Federal Medi-Cal funds, $160,599 will be funded by sales tax through Realignment, $17,648 will be funded through the Health Plan of San Mateo, and the remaining $68,828 is the Net County Cost. Funding for these services, including the Net County Cost of $68,828, has been included in the FY 2006-07 Adopted Budget. A similar arrangement shall be made for FY 2007-08.