Agenda Item   

AGENDA STAFF REPORT

 

                                                                                                                        ASR Control  24-000521

 

MEETING DATE:

04/22/25

legal entity taking action:

Board of Supervisors

board of supervisors district(s):

All Districts

SUBMITTING Agency/Department:

Health Care Agency   (Approved)

Department contact person(s):

Veronica Kelley (714) 834-7024 

 

 

Ian Kemmer (714) 834-2160

 

 

Subject:  Renewal of Drug Medi-Cal Adult & Adolescent Outpatient Services

 

      ceo CONCUR

County Counsel Review

Clerk of the Board

          Concur

Approved Agreement to Form

Discussion

 

 

3 Votes Board Majority

 

 

 

    Budgeted: N/A

Current Year Cost:   N/A

Annual Cost: FY 2025-26 $14,271,314
FY 2026-27 $14,271,314

 

 

 

    Staffing Impact:

No

# of Positions:            

Sole Source:   No

    Current Fiscal Year Revenue: N/A

   Funding Source:     State: 30% (2011 Realignment and State General Fund), Fees & Other: 70% (Drug Medi-Cal Federal Financial Participation)

County Audit in last 3 years: No

   Levine Act Review Completed: Yes

 

    Prior Board Action:         8/2/2022 #12, 11/29/2022 #35

 

RECOMMENDED ACTION(S):

 

 

1.

Approve Amendment No. 3 to renew the Master Contract with various providers for the provision of Drug Medi-Cal Adolescent Outpatient and Intensive Outpatient Services, for the term of July 1, 2025, through June 30, 2027, for an aggregate amount not to exceed $3,093,948, for a revised cumulative aggregate total amount not to exceed $7,477,041.

 

2.

Approve Amendment No. 3 to renew the Master Contract with various providers for the provision of Drug Medi-Cal Adult Outpatient and Intensive Outpatient Services, for the term of July 1, 2025, through June 30, 2027, for an aggregate amount not to exceed $25,448,680, for a revised cumulative aggregate total amount not to exceed $49,012,273.

 

3.

Authorize the County Procurement Officer or Deputized designee to execute the Amendment No. 3 to the Master Contract and individual amendments with various providers for Drug Medi-Cal Adolescent Outpatient and Intensive Outpatient Services and to execute the Amendment No. 3 to the Master Contract and individual amendments with various providers for Drug Medi-Cal Adult Outpatient and Intensive Outpatient Services, as referenced in the Recommended Actions above.

 

 

 

 

SUMMARY:

 

Approval of Amendments to renew the Master Contract and individual Amendments with various providers for the provision of Drug Medi-Cal Adolescent and Adult Outpatient and Intensive Outpatient Services, including Medications for Assisted Treatment, will fulfill mandated services for adults and adolescents as required under the Drug Medi-Cal Organized Delivery System.

 

 

BACKGROUND INFORMATION:

 

Your Honorable Board of Supervisors (Board) approved the Master Contract with various providers for provision of Drug Medi-Cal (DMC) Adolescent Outpatient and Intensive Outpatient Services. The below actions were executed pursuant to appropriate authorities. Prior to contract expiration, the Health Care Agency (HCA) plans to issue a solicitation to continue services. The Orange County Preference Policy is not applicable to these Amendments.

 

Board Date

Contract/Amendment

Action

Term

August 2, 2022

Contract

Board Approved Contract

September 9, 2022-June 30, 2025

November 29, 2022

Contract

Board Approved Contract

January 1, 2023-June 30 2025

N/A

Amendments No. 1

 

Amendment No. 2

DPA Administrative Amendments

August 1, 2023- June 30, 2025

May 24, 2024-June 30, 2025

 

The proposed Master Contracts for adolescents and adults with the recommended providers are needed to fulfill mandated services required under the Drug Medi-Cal Organized Delivery System (DMC-ODS) for both adolescents twelve through seventeen years and adults eighteen or older who are Medi-Cal eligible residents of the County of Orange.

 

Scope of Services

 

DMC-ODS Outpatient Substance Use Disorder (SUD) treatment is a required service for DMC. These treatment programs include outpatient and intensive outpatient services to adolescent individuals ages 12 through 17 and adults 18 or older who are Medi-Cal eligible residents of the County. Through these contracts, providers will continue to offer Intensive Outpatient Treatment (IOT) and Outpatient Drug Free (ODF) treatment, as well as Recovery Services (RS) for clients who have already completed a SUD treatment program and require continued support.

 

Outpatient treatment services shall be recovery-based and have an individualized approach, which will address their specific needs and impairments.  Adolescent outpatient treatment services will utilize the Adolescent SUD Best Practices Guide as established by the California Department of Health Care Services (DHCS). This guide ensures services address the unique and complex developmental needs of this population while recommending family and/or supportive adult participation in the adolescent’s treatment. Adolescents and adults will be assessed and referred for the appropriate level of care based on their eligibility as determined by utilizing the American Society of Addiction Medicine (ASAM) assessment tool. Services will include assessment, individual and group counseling, patient education, treatment planning, assessment and care coordination for family needs, case management, crisis intervention, discharge planning, referral for ancillary needs, and linkage to ongoing support and continuity of care.

 

Phoenix House of Orange County, Inc. will continue to provide Medications for Addiction Treatment (MAT) services for adolescents with an opioid use disorder and/or alcohol use disorder, while Genesis New Beginning and PES-ebs., Inc. will continue to provide these same services for adults.

 

Performance Outcomes

 

The Performance Outcomes for DMC Adolescent and Adult Outpatient and Intensive Outpatient Services are listed below:

 

Effective outpatient services will be measured by provider retention rates of 50 percent or higher, where retention is defined as client engagement in services for at least 30 days.

Effective outpatient services will also be measured by satisfactory treatment progress rates of 50 percent or higher for each provider, where satisfactory treatment progress is defined as significant progress being made towards client treatment plan goals at the time of discharge.

 

Adolescent Performance Outcomes:

 

FY 2023-24

 

July 1, 2023, to June 30, 2024

Total number of clients served: 323

 

FY 2024-25

 

July 1, 2024, to December 31, 2024

Total number of clients served: 162

 

 

Contractor

Retention Rate

(Goal >50%)

Completion Rate

(Goal >50%)

Retention Rate

(Goal >50%)

Completion Rate

(Goal >50%)

Twin Town Treatment Center, Inc.

65%

63%

91%

70%

Wel Mor Psychology Group, Inc.

63%

73%

100%

92%

Phoenix House of Orange County, Inc.

100%

67%

***

***

***For FY 2024-25, the numbers served were very low. As such, reliable percentages could not be calculated.

 

 

FY 2023-24

 

July 1, 2023, to June 30, 2024

Total number of clients served: 2453

 

FY 2024-25

 

July 1, 2024, to December 31, 2024

Total number of clients served: 1698

 

Contractor

Retention Rate

(Goal >50%)

Completion Rate

(Goal >50%)

Retention Rate

(Goal >50%)

Completion Rate

(Goal >50%)

Twin Town Treatment Center, Inc.

69%

64%

77%

75%

Wel Mor Psychology Group, Inc.

73%

80%

67%

84%

PES-ebs., Inc.

69%

29%

68%

45%

Genesis New Beginning

91%

13%

98%

80%

The Teen Project, Inc.

77%

49%

89%

59%

DMS Services, dba DMS Options

N/A

N/A

0%

0%

Phoenix House of Orange County, Inc.

80%

55%

88%

67%

 

In FY 2023-24, one provider (DMS Services) experienced a significant delay in launching services due to issues securing a DMC-approved location, hiring staff, and completing the extensive onboarding process. In addition, three providers (PES-ebs, Genesis, DMS Services) were not accurately entering data into the outcomes system, resulting in inaccurately low calculated rates. County systematically reviewed their data entry practices and provided technical assistance and training, resulting in improved rates during the first half of FY 2024-25 for two of the providers. County will continue to work closely with providers to ensure prompt and precise entry, and provide training support, as necessary. In FY ’24-’25, Phoenix House Adolescent Program faced significant staffing challenges, specifically related to hiring and retention.

 

The individual Contracts have subcontracts with various providers. See Attachment C for information regarding subcontractors and Contract Summary Form.

 

The contractors’ performance has been confirmed as satisfactory. HCA has verified there are no concerns that must be addressed with respect to Contractors’ ownership/name, litigation status or conflicts with County interests.

 

HCA requests the Board approve Amendments No. 3 to the Master Contract and individual amendments with various providers for the provision of Drug Medi-Cal Adolescent and Adult Outpatient and Intensive Outpatient Services as referenced in the Recommended Actions above.

 

 

 

FINANCIAL IMPACT:

 

Appropriations for the Contracts will be included in Budget Control 042 FY 2025-26 and in the budgeting process for future years.

The Contracts include provisions allowing HCA to terminate the Contracts, reduce the level of services, and/or renegotiate the levels of services provided, as necessary. This includes a notice that allows HCA adequate time to transition or terminate services, if necessary.

 

 

STAFFING IMPACT:

 

N/A

 

ATTACHMENT(S):

 

Attachment A- Amendment No. 3 to MA-042-22011841 for provision of Drug Medi-Cal Adolescent Outpatient and Intensive Outpatient Services
Attachment B - Amendment No. 3 to MA-042-23010409 for provision of Drug Medi-Cal Adult Outpatient and Intensive Outpatient Services
Attachment C - Contract Summary Forms