To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Payments for Services Provided by Objective Arts, LLC
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Auditor-Controller, or designee, to pay $6,000 to Objective Arts, LLC, a limited liability company, for outcome assessment software and data conversion services concerning Child and Adolescent Needs and Strengths (CANS) and Pediatric Systems Checklist (PSC-35) assessments for client-level reporting as required by the California Department of Health Care Services (DHCS) per California Welfare and Institutions Code (W&I) Section 16560, for Contra Costa County Behavioral Health (CCBH) for the month of December 2025, as recommended by the Health Services Director.
FISCAL IMPACT:
Approval of this payment will result in a one-time expenditure of up to $6,000 and will be funded 100% by Mental Health Realignment funds.
BACKGROUND:
As per DHCS requirements, the County is required to utilize the CANS and PSC-35 assessments for client-level reporting to the State of California on a quarterly basis. To collect and analyze data from Community Based Organizations (CBOs) and Contractors, County utilizes Contractor’s electronic data management system to help with data management and reporting requirements needed for submission to the State.
CCBH has been using the CANS tool since DHCS selected this tool as the mandatory functional assessment tool for children and adolescents, per W&I 16560. In 2024, DHCS added language to W&I 16560 to require the use of a revised tool called the Integrated Practice-Child and Adolescent Needs and Strengths, or IP-CANS, by both mental health providers and child welfare agencies starting January 1, 2026.
On July 9, 2019, the Board of Supervisors approved Objective Arts, Inc., Software License Agreement (County Contract #74-594), with Objective Arts, Inc., containing mutual indemnification, in an amount not to exceed $90,000 to provide outcome assessment software and services to utilize the Child and Adolescent Needs and Strengths and Pediatric Symptoms Checklist assessments for client-level reporting to the State of California on a quarterly basis for the period July 1, 2019 through June 30, 2020, that includes an evergreen term.
On June 9, 2023, the Purchasing Agent issued Purchase Order #28103 to Objective Arts, LLC., in an amount not to exceed $180,000 for the renewal of Annual Base SMR Software License, governed by Objective Arts, Inc., Software License Agreement (County Contract #74-594), with Objective Arts, Inc., for a term ending June 25, 2025.
CCBH submitted a request to renew services with Objective Arts, that includes procurement of these services moving forward. However, the renewal documentation encountered delays due to negotiations between the parties. In order for CCBH to comply with the State of California’s January 1, 2026, deadline, additional services were requested by County and provided by Contractor in good faith.
Accordingly, the Contractor is entitled to payment for the reasonable value of its services under the equitable relief theory of quantum meruit. That theory provides that where a Contractor has been asked to provide services without a valid contract, and the Contractor does so to the benefit of the County, the Contractor is entitled to recover the reasonable value of those services. Objective Arts has provided services at the request of the County after the original Contract term had been reached. The Department cannot pay Contractor for services rendered that exceeds the Contract term. As such, the Department recommends that the Board authorize the Auditor-Controller to issue a one-time payment not to exceed $6,000 to Objective Arts, LLC.
CONSEQUENCE OF NEGATIVE ACTION:
If this payment is not approved, CCBH will be in default of DHCS compliance deadlines and will result in DHCS implementing financial sanctions against the County.