REPORT TO SHASTA COUNTY BOARD OF SUPERVISORS

BOARD MEETING DATE:  May  9, 2017
CATEGORY:  Consent - Health and Human Services-3.

SUBJECT:

Third Amendment to Agreement with The Sail House, Inc.

Supervisorial District No. :  All

DEPARTMENT CONTACT:  Dean True, Branch Director, 530-225-5900

STAFF REPORT APPROVED BY:  Dean True, Branch Director

RECOMMENDATION

Approve and authorize the Chairman to sign an amendment, effective July 1, 2017, to the agreement with The Sail House, Inc. for residential care home services for the elderly to increase the per day per bed rate from $22.00 to $24.20 for Sail House and $25.00 to $27.50 for Gilmore Place, increasing maximum compensation from $175,000 to $200,000 for Fiscal Year 2017-18, for a new maximum compensation not to exceed $550,000, retaining the term July 1, 2015 through June 30, 2016, with two automatic one-year renewals.

SUMMARY

N/A

DISCUSSION

This proposed amendment will allow The Sail House, Inc. (Sail House) to continue to provide enhanced services within a board and care setting to support Shasta County individuals with severe and persistent mental illness in the least restrictive environment possible and additional licensed residential care for elderly Shasta County clients.

Sail House is an Adult Residential Board and Care facility licensed with the State of California Community Care Licensing (CCL) which provides non-acute 24-hour residential care to individuals with mental illness at two locations. Gilmore Place, a Sail House facility, is licensed by CCL as a Residential Care Home for the elderly and has facilities for both ambulatory and non-ambulatory clients. These rate increases reflect both higher costs for the vendor associated with the increases in the minimum wage, and the competitive nature of securing much needed lower level residential placement options. Without such options individuals must be placed into more costly residential settings such as Institutions for Medical Disease (IMD).

ALTERNATIVES

The Board may choose not to approve this amendment or approve with reduced funding or modified terms

OTHER AGENCY INVOLVEMENT

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

FINANCING

The maximum amount payable for County fiscal years 2015-16 and 2016-17 remains $175,000. Under the proposed third amendment, County Fiscal Year (FY) 2017-18 compensation increases to $200,000 and is included in the FY 2017-18 Mental Health Services Act (MHSA) Requested Budget (BU 404).  Costs are on a fee-for-service basis and only incurred when a Shasta County resident is authorized by the County for augmented residential care home services at Sail House.  The agreement is funded with MHSA Community Services and Support funding and Realignment. There is no additional General Fund impact with the approval of the recommendation.