REPORT TO SHASTA COUNTY BOARD OF SUPERVISORS

BOARD MEETING DATE:  July  18, 2017
CATEGORY:  Consent - Health and Human Services-6.

SUBJECT:

Renewal agreement with Victor Treatment Center, Inc.

Supervisorial District No. :  All

DEPARTMENT CONTACT:  Dianna L. Wagner, Branch Director, (530) 225-5705

STAFF REPORT APPROVED BY:  Dianna L. Wagner, Branch Director

RECOMMENDATION

Approve and authorize the Chairman to sign a retroactive renewal agreement with Victor Treatment Centers, Inc. in an amount not to exceed $600,000 for the provision of specialty mental health services to eligible children for the period July 1, 2017 through June 30, 2018, with two automatic one-year renewals.

SUMMARY

This proposed renewal agreement will allow Victor Treatment Centers, Inc. (Victor Treatment) to continue providing medically necessary specialty mental health services to Shasta County youth who are placed in Victor Treatment facilities located in Shasta County or other counties.  Additionally, through this renewal agreement, Victor Treatment may serve children residing in settings other than Victor Treatment facilities who require an intensive level of specialty mental health services.

DISCUSSION

Effective January 1, 2017, Assembly Bill (AB) 403 (Chaptered 773, Statues of 2015) established a new community care facility category called Short-term residential therapeutic program (STRTP) governed by the Continuum of Care Reform. A STRTP is a residential facility operated by a public agency or private organization that provides an integrated program of specialized and intensive care and supervision, services and supports, treatment, and short-term 24-hour care and supervision to children and nonminor dependents.   Victor Treatment is in the process of converting to become a STRTP provider.

With new state certification requirements, the availability of residential treatment providers statewide is limited.  Victor Treatment has provided residential and specialty mental health services to Shasta County youth for many years.  There are five youth receiving services in a Victor facility at this time. Victor Treatment offers a variety of mental health treatment services for Medi-Cal beneficiaries in their residential program that are also available for Shasta County youth who meet criteria for an intensive level of mental health services. 

Victor Treatment is a Rate Classification Level (RCL) 13/14 group home facility for youth with serious mental health issues, in Redding, as well as Stockton, Santa Rosa, and San Bernardino. Victor Treatment in Redding is the only RCL 13/14 group home provider in Shasta County.  Services provided are designed to reduce serious behaviors and symptoms resulting from a mental illness that can require acute psychiatric hospitalization and the need for highly structured and supervised placement. The goal of placement in these facilities is to improve the youth’s functioning such that the youth can move to lower level of care when appropriate.

Medically necessary mental health services for eligible Medi-Cal beneficiaries are considered an entitlement, and are part of Shasta County’s Health and Human Services Agency (HHSA) Managed Care Plan responsibility. Specifically, HHSA is responsible for determining medical necessity, authorizing, and paying for these services.  Youth who are eligible for services through this contract includes those who are placed with Victor Treatment in out-of-home care by either HHSA, the Probation Department, or voluntarily by parents, through the Adoption Assistance Program.  Progress for each individual is evaluated through quarterly reports on the frequency of identified behaviors that resulted in or places the youth at risk of a higher level of care, as well as tracking of progress toward individual treatment goals. Victor Treatment has consistently provided quality services for Shasta County youth.

The proposed agreement is retroactive due to the time required to complete the contract renewal process.

ALTERNATIVES

The Board could choose not to approve the renewal agreement or to approve with modified terms or funding.

OTHER AGENCY INVOLVEMENT

County Counsel has approved the agreement as to form.  Risk Management approved the agreement.  The recommendation has been reviewed by the County Administrative Office.

FINANCING

The maximum amount of the agreement with Victor Treatment Centers Inc. is $600,000, and is based on the historical utilization of this provider.  These costs are included in the Adopted FY 2017-18 Mental Health budget (BU 410). The agreements are fee for service and costs will only be incurred when Shasta County youth are receiving mental health services from Victor Treatment Centers Inc.  This agreement is funded with federal funds (approximately 50%) and a county match which is largely met through a combination of 1991 and 2011 Realignment revenue.  Residential costs, which are not included in this agreement, are supported through the Social Services foster care payment system.  There is no additional County General Fund impact with approval of this recommendation.