COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health Department

DATE:

May 12, 2008

BOARD MEETING DATE:

May 20, 2008

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Charlene A. Silva, Director of Health

Louise Rogers, Director, Behavioral Health & Recovery Services

SUBJECT:

Second Amendment to the Agreement with Horizon Services, Inc., provider of Alcohol and Other Drug Prevention Services, for the Center for Substance Abuse Treatment

RECOMMENDATION:

Adopt a Resolution Authorizing the President of the Board to execute a Second Amendment to the Agreement with Horizon Services, Inc., for the Center for Substance Abuse Treatment increasing the maximum obligation by $69,051, for a new maximum of $1,089,051, with no change to the Agreement term, September 30, 2004 through September 29, 2009.

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.

The amended Agreement contributes to this commitment and goal by providing homeless individuals in San Mateo County with the skills and knowledge necessary to live alcohol and drug free lives, which in turn contributes to the health and safety of the communities in San Mateo County.

Performance Measure:

Measure

FY 2006-07

Actual

FY 2007-08

Projected

Percentage of clients showing improvement in abstinence after 6 months.

62%

64%

BACKGROUND:

The Human Services Agency (HSA), Alcohol and Other Drug Services (AOD) in collaboration with the San Mateo County Office of Housing, Horizon Services, Shelter Network, Samaritan House and Allen/Loeb Associates, submitted an application to the Federal Department of Health and Human Services (DHHS) for a five-year grant to provide a spectrum of substance abuse treatment services to persons at the Maple Street (Shelter Network), and Safe Harbor (Samaritan House) shelters in San Mateo County.

On December 7, 2004, your Board adopted a resolution accepting Center for Substance Abuse Treatment (CSAT) Grant Number 1 H79 TI 16683-01, waived the Request for Proposals (RFP) process and authorized AOD to initiate contracts with the service providers designated in the grant proposal. Horizon Services, Inc. was one of the providers named in the grant proposal.

On December 14, 2004, your Board approved an Agreement with this provider for the term of September 30, 2004 through September 29, 2009, for a maximum obligation of $1,000,000.

On January 28, 2005, the Director of HSA approved an amendment to increase the amount of the Agreement from $1,000,000 to $1,020,000 to effect a rate adjustment.

In August, 2006 AOD became part of Behavioral Health and Recovery Services (BHRS) as part of the County reorganization.

DISCUSSION:

This Second Amendment is necessary in order to add rollover funds from the CSAT grant to the Agreement, and add a Cost of Doing Business Increase (COBI).

Additional financial resources for the provision of services beyond September 29, 2009, have not yet been identified. AOD intends to pursue additional funding to sustain services. Possible funding may include local, state, federal funding and foundation grants. If State block grant funds are increased, they may be utilized for sustaining substance abuse treatment services that are initiated under this grant. If no additional funding is identified, the program will cease on September 29, 2009.

This Amendment has been reviewed and approved by County Counsel and Risk Management. 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 term of this Agreement remains September 30, 2004 through September 29, 2009. The total funding obligation for the remainder of the term is increased by $69,051 for a new maximum obligation of $1,089,051. Of the increase, $55,551 is funded through the CSAT Grant, and $13,500 for the COBI is Net County Cost. The funding obligation for FY 2007-08 is $249,034, of which $243,034 is CSAT and $6,000 is COBI. Funds for these services are included in the BHRS FY 2007-08 Adopted Budget. For FY 2008-09, funding needs amounting to $224,517 have been included in the BHRS FY 2008-09 Recommended Budget.