COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Health Department

DATE:

May 23, 2008

BOARD MEETING DATE:

June 3, 2008

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

TO:

Honorable Board of Supervisors

FROM:

Charlene A. Silva, Director of Health

Louise Rogers, Director of Behavioral Health and Recovery Services

SUBJECT:

Agreement with John Muir Behavioral Health Center

RECOMMENDATION:

Adopt a Resolution authorizing the President of the Board to execute an Agreement with John Muir Behavioral Health Center for the period July 1, 2008 through June 30, 2010, for a maximum obligation of $1,764,822 in aggregate with all other hospitals that have contracted with Behavioral Health and Recovery Services for the provision of psychiatric inpatient hospital services for San Mateo County youth and adults.

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.

Behavioral Health and Recovery Services (BHRS) provides a range of services to promote wellness and recovery and to support consumers remaining in the lowest possible level of care. The provision of psychiatric inpatient mental health services is one established level of care. The services provided through this Agreement contribute to this measure.

PERFORMANCE MEASURE:

Measure

FY 2007-08
Estimate

FY 2008-09
Target

Percentage of clients who are re-admitted within 30 days of discharge.

9%

9%

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. Contracting with this provider ensures that San Mateo County clients in need of emergency services have local access to care in order to minimize delays in treatment. For FY 2007-08 BHRS contracted with Mills-Peninsula Hospitals and John Muir Behavioral Health Center to provide psychiatric inpatient hospital services. Services provided by these facilities comprise the majority of contracted psychiatric inpatient hospital services provided to San Mateo County clients. Under the B-1 Administrative Memorandum, the selection of providers of psychiatric inpatient hospital services is exempt from the requirement for a Request for Proposals process.

DISCUSSION:

BHRS will contract with Mills-Peninsula Hospitals in addition to John Muir Behavioral Health Center. The Agreement with Mills-Peninsula Hospitals will be presented to your Board at a later date.

The contract amount is an aggregate amount for all hospital inpatient services authorized by BHRS. 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 BHRS will be paid.

County Counsel has reviewed and approved this Agreement and Risk Management has approved the insurance coverage for this provider. 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 is July 1, 2008 through June 30, 2010. The maximum amount is $1,764,822 for the two-year term. The maximum amount for FY 2008-09 is $882,411 which is the aggregate amount for all contracted hospitals. The Agreement amount for FY 2009-10 will also be funded collectively among all hospitals contracting for these services. There are no separate contract maximums for individual hospitals. For FY 2008-09, $635,336 will be funded with Federal Financial Participation funds, $160,599 will be funded by Realignment, $17,648 will be funded through the Health Plan of San Mateo, and the remaining $68,828 is Net County Cost. Funding for these services has been included in the BHRS FY 2008-09 Recommended Budget. A similar arrangement shall be made for FY 2009-10.