To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Payment for Services Provided by Recover Medical Group P.C.
Recommendation: Recommendation of the County Administrator
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Auditor-Controller, or designee, to pay $2,830 to Recover Medical Group P.C., for the provision of drug use prevention and treatment services for youth in Contra Costa County, for the period June 1, 2026 through June 30, 2026, as recommended by the Health Services Director.
FISCAL IMPACT:
Approval of this payment will result in a one-time expenditure of up to $2,830 and will be funded 100% by Drug Medi-Cal revenues.
BACKGROUND:
The County has been contracting with the Contractor since 2023 to meet the social needs of the County’s population by providing specialized substance abuse treatment and prevention programs to help clients to achieve and maintain sobriety and to experience the associated benefits of self-sufficiency, family reunification, cessation of criminal activity and productive engagement in the community. Contractor shall provide, operate, and administer Substance Use Disorder (SUD) prevention and treatment program services as certified by the State of California and Contractor must operate under the terms and conditions of the Drug Medi-Cal Organized Delivery System (DMC-ODS) and must be provided in its facility(ies) referenced in County Health Services Alcohol and Other Drugs (AODS) Department’s Work Plan.
This Contract is entered into under and subject to the following legal authorities: California Government Code §§ 26227 and 31000. This Contract was approved by Health Services Personnel to ensure there is no conflict with labor relations. BHSD’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. Per Administrative Bulletin 600.3, the Department has posted a continuous Request for Qualifications and maintains a current qualified list of vendors at all times.
In January 2026, the Purchasing Services Manager executed Contract #74-673-5 with Recover Medical Group, P.C., in an amount not to exceed $100,568, to provide drug use prevention and treatment services to youth in Contra Costa County, for the period July 1, 2025 through June 30, 2026.
In June 2026, the Purchasing Services Manager executed Contract Amendment #74-673-7 with Recover Medical Group, P.C., effective March 1, 2026, to increase the payment limit by $40,222, to a new payment limit of $140,790 with no change in the term ending June 30, 2026.
Due to an increase in drug use prevention and treatment services needed by youth in Contra Costa County, additional services were requested by the County without sufficient time to amend the Contract. Contractor provided these services in good faith, which exceeded the original payment limit by $2,830.
Therefore, the County has determined that with Recover Medical Group P.C., is entitled to payment for the reasonable value of their services under the equitable relief theory of quantum meruit. That theory provides that where a person has been asked to provide services without a valid contract, and the provider does so to the benefit of the recipient, the provider is entitled to recover the reasonable value of those services. As such, the Department recommends that the Board authorize the Auditor-Controller to issue a one-time payment not to exceed $2,830 to Recover Medical Group P.C.
CONSEQUENCE OF NEGATIVE ACTION:
If this payment is not approved, the Contractor will not be paid for services the Contractor provided in good faith.