To: Board of Supervisors
From: Anna Roth, Health Services Director
Report Title: Novation Contract #24-794-15(12) with SJBH, LLC (dba San Jose Behavioral Health Hospital)
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Health Services Director, or designee, to execute on behalf of the County Novation Contract #24-794-15(12) with SJBH, LLC (dba San Jose Behavioral Health Hospital), a limited liability company, in an amount not to exceed $300,000, to provide inpatient psychiatric hospital services to children, adolescent, and adult Clients referred and authorized by County, for the period from July 1, 2024 through June 30, 2025, which includes a six month automatic extension through December 31, 2025.
FISCAL IMPACT:
Approval of this Contract will result in an annual contractual expenditure of up to $300,000 and will be funded as budgeted by the Division in FY 2024-2025, 100% by Mental Health Realignment Funds.
BACKGROUND:
The Behavioral Health Services Division (BHSD) has been contracting with SJBH, LLC (DBA San Jose Behavioral Health Hospital) since October 2018, to provide inpatient psychiatric hospital services to County-referred Clients. These services include but are not limited to routine and hospital-based ancillary services directly related to the psychiatric diagnosis for which they are admitted, bed and board, pharmaceutical, dietary, medical social services, therapeutic services, medical and non-medical supplies, appliances, equipment, and physician services. This Contract is entered into under and subject to the following legal authorities: 42 U.S.C. 1395, et seq.; 42 U.S.C. 300e; Welfare and Institutions Code §§ 14000, et seq.; Health and Safety Code, §§ 1340-1399.904; California Government Code §§ 25209.6, 26227, and 31000.
BHSD contracts with or makes every attempt to contract with every acute inpatient psychiatric facility within a 50-mile radius of the County. SJBH, LLC (dba San Jose Behavioral Health Hospital) has been a longstanding partner in treating Contra Costa Clients, fostering a deep understanding of the County’s mission, values and long-term objectives. They have a proven track record and established reputation within the psychiatric community which mitigates potential risks associated with the regulatory compliance and patient well-being. This Contract was approved by Health Services Personnel to ensure there is no conflict with labor relations. The Behavioral Health’s Quality Management, Utilization Management and Contract Monitor Staff meet on a regular basis to ensure monitoring and performance measures in the Contract are upheld. These Contracted services were determined to be exempt from Administrative Bulletin 600.3 solicitation requirements by the Public Works Purchasing Division.
On November 7, 2023, the Board of Supervisors approved Novation Contract #24-794-15(10) with SJBH, LLC (dba San Jose Behavioral Health Hospital) in an amount not to exceed $300,000 for the provision of inpatient psychiatric hospital services to County referred Clients for the period July 1, 2023 through June 30, 2024.
On June 25, 2024, the Board of Supervisors approved Contract Amendment Agreement #24-794-15(11) with SJBH, LLC (DBA San Jose Behavioral Health Hospital), effective June 1, 2024, to amend Novation Contract #24-794-15(10), to increase the payment limit by $332,614 from $300,000 to a new payment limit of $632,614, with no change in the original term of July 1, 2023 through June 30, 2024, and to include a six month automatic extension through December 31, 2024, in an amount not to exceed $316,307.
Approval of Contract #24-794-15(12) will allow Contractor to continue providing inpatient psychiatric hospital services to County referred Clients through June 30, 2025. Delay of submittal was due to extended negotiations between Division and Contractor.
CHILDREN’S IMPACT STATEMENT:
This Contract supports the following Board of Supervisors’ community outcomes: “Families that are Safe, Stable, and Nurturing” and “Communities that are Safe and Provide a High Quality of Life for Children and Families”. Expected program outcomes include increases in social connectedness, communication skills, parenting skills, and knowledge of the human service system in Contra Costa County.
CONSEQUENCE OF NEGATIVE ACTION:
If this Contract is not approved, County referred Clients will not have access to Contractor’s inpatient psychiatric hospital services and may go untreated.