Inter-Departmental Correspondence
Health System



May 14, 2010


June 8, 2010







Honorable Board of Supervisors



Jean S. Fraser, Chief, Health System


Louise Rogers, Director, Behavioral Health & Recovery Services



Agreement with Mateo Lodge, Inc.



Adopt a Resolution:

1) Authorizing the President of the Board to execute an Agreement with Mateo Lodge, Inc. for residential and mental health treatment services for the term July 1, 2010 through June 30, 2011 for a maximum obligation of $1,843,469; and


2) Authorizing the Chief of the Health System or 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.



For more than two decades, Mateo Lodge has provided residential and other mental health treatment services to Behavioral Health and Recovery Services (BHRS) clients who are residents of San Mateo County. Their services are focused on providing low cost, community-based alternatives for seriously mentally ill adults with mental health and co-occurring disorders who otherwise would have to live in locked psychiatric facilities, homeless shelters, or on the streets.



BHRS is contracting with Mateo Lodge to provide transitional residential treatment for seriously mentally ill adults with mental health and co-occurring disorders at their Wally’s Place facility and supported housing (rehabilitative services with housing) at their Humboldt, Cassia, and Poplar houses. Supported housing services are designed to aid clients in a variety of community living arrangements and to assist clients in finding or maintaining permanent housing, employment, education, health care and mental health services. In addition, Mateo Lodge has a mobile support team that provides outreach and rehabilitation services to individuals who are homeless or at risk of becoming homeless and mentally ill. Under the B-1 Administrative Memorandum the selection of providers of housing services and related supports for BHRS clients is exempt from the requirement for a Request for Proposals (RFP) process.


The Agreement has been reviewed and approved by Risk Management, and the Agreement and Resolution have been reviewed and approved by 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.


Subsequent to the final adoption of the State budget it may be necessary to make changes to this contract in order to reflect legislative action. This contract is recommended to your Board at this time in order to provide a continuity of services to the community until final funding levels can be determined. The contract provides that the County may reduce the scope of the contract to reflect any shortfall in funding from State or federal allocations.


The Agreement contributes to the Shared Vision 2025 outcome of a Healthy Community by providing transitional residential treatment for seriously mentally ill adults. 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 transitional residential treatment is one established level of care. The services provided through this Agreement contribute to this measure. It is anticipated that 77% of clients who receive services through this Agreement will be maintained at their current or lower level of care.


Performance Measure:


FY 2009-10

    FY 2010-11

Transitional Residential Services: Percentage of clients maintained at current or lower level of care.





The term of the Agreement is July 1, 2010 through June 30, 2011, and the maximum obligation is $1,843,469. Of that amount, it is anticipated that $495,482 will be funded by Federal Medi-Cal, $146,530 will be funded by Projects for Assistance in Transition from Homelessness (PATH) grant funds, $94,811 will be funded by Substance Abuse and Mental Health Services Administration (SAMHSA) grant funds, $107,001 will be funded by the Mental Health Services Act (MHSA), and $593,119 will be funded by sales tax through Realignment. The Net County Cost is $406,526. These funds have been included in the BHRS FY 2010-11 Recommended Budget.