To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Contract #77-589-1 with Royal Ambulance, LLC
Recommendation: Recommendation of the County Administrator
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Contract #77-589-1 with Royal Ambulance, LLC, a limited liability company, in an amount not to exceed $2,000,000, to provide non-emergency medical transportation (NEMT) services for Contra Costa Health Plan (CCHP) Medi-Cal members and County recipients, for the period October 1, 2026 through September 30, 2028.
FISCAL IMPACT:
Approval of this Contract will result in contractual service expenditures of up to $2,000,000 over a two-year period and will be funded 100% by Hospital Enterprise Fund II revenues.
BACKGROUND:
CCHP has an obligation to provide certain NEMT services for its members under the terms of their Individual and Group Health Plan membership contracts with the County. NEMT services provide transportation to and from covered Medi-Cal services for eligible members. These services also prioritize safety, accessibility, and comfort for passengers, with specially equipped vehicles. Contractor will begin providing NEMT services while fostering a deep understanding of the CCHP organization’s mission, values, and long-term objectives starting October 1, 2026.
This Contract is entered into under and subject to the following legal authorities: California Government Code §§ 26227 and 31000; Health and Safety Code § 1451. These NEMT services are mandated by the California Department of Health Care Services (DHCS) under federal law, which requires Medi-Cal Managed Care Plan’s to cover transportation-related travel expenses as set forth in 42 CFR section 440.170 (a)(3)(iii). Health Services Personnel approved this Contract to ensure no conflicts with labor relations. Contractor will cooperate with and participate in CCHP’s Quality Management Program which consists of quality improvement activities to improve the quality of care and services and member experience. Per Administrative Bulletin 600.4, the Department has posted a continuous Request for Qualifications and maintains a current qualified list of vendors at all times.
Approval of Contract #77-589-1 will allow the Contractor to provide NEMT services for CCHP Medi-Cal members and County recipients through September 30, 2028.
CONSEQUENCE OF NEGATIVE ACTION:
If this Contract is not approved, Contractor will not provide NEMT services needed for CCHP members and County recipients which could place the County out of compliance with the DHCS.