HomeMy WebLinkAboutMINUTES - 11122013 - SD.6RECOMMENDATION(S):
CONSIDER approving and authorizing the Health Services Director, or his designee, to amend the contracts listed
below and providing direction regarding the recoupment of balances owed to the County:
Execute Contract Amendment Agreement #24-238-49 with Mental Health Consumer Concerns, Inc., a
non-profit corporation, effective August 1, 2013, to amend Contract #24-238-48, to modify the Payment
Provisions with no change to the Payment Limit of $383,430 or the termination date of December 31, 2013.
a.
Execute Contract Amendment Agreement #24-360-36 with Mental Health Consumer Concerns, Inc., a
non-profit corporation, effective August 1, 2013, to amend Contract #24-360-35, to modify the Payment
Provisions with no change to the Payment Limit of $436,539 or the termination date of December 31, 2013.
b.
Execute Contract Amendment Agreement #74-303-6 with Mental Health Consumer Concerns, Inc., a
non-profit corporation, effective August 1, 2013, to amend Contract #74-303-5, to modify the Payment
Provisions with no change to the Payment Limit of $1,021,140 or the termination date of December 31, 2013.
c.
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 11/12/2013 APPROVED AS RECOMMENDED OTHER
Clerks Notes:See Addendum
VOTE OF SUPERVISORS
AYE:John Gioia, District I Supervisor
Candace Andersen, District II
Supervisor
Mary N. Piepho, District III
Supervisor
Karen Mitchoff, District IV
Supervisor
NO:Federal D. Glover, District V
Supervisor
Contact: Dorothy Sansoe,
925-335-1009
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the
Board of Supervisors on the date shown.
ATTESTED: November 12, 2013
David Twa, County Administrator and Clerk of the Board of Supervisors
By: June McHuen, Deputy
cc:
SD.6
To:Board of Supervisors
From:William Walker, M.D., Health Services Director
Date:November 12, 2013
Contra
Costa
County
Subject:Termination of Contracts and Approval of Settlement Agreement with Mental Health Consumer Concerns
RECOMMENDATION(S): (CONT'D)
Terminate Contract #24-930-16 with Mental Health Consumer Concerns, Inc., a non-profit corporation
effective the close of business on December 31, 2013.
d.
FISCAL IMPACT:
Contract #24-238-48 is funded by the County General Fund.
Contract #24-360-36 is funded by the County General Fund.
Contract #24-303-6 is funded by Mental Health Services Act funds.
Contract #24-930-16 is funded by the County General Fund.
At the expiration of the contracts, the contractor will still owe the County approximately $163,000. The actual amount
is dependent upon the services that are provided in the interim. If the contractor does not provide sufficient services to
cover the entire amount owed or reimburse the County for the balance, the County General Fund and the Mental
Health Services Act fund will be negatively impacted. The exact impact cannot be determined until actual cost
reports through December 31, 2013 have been received from the contractor.
BACKGROUND:
The Health Services Department, Behavioral Health Division, has been providing services to mental health
consumers for a number of years through contracts with Mental Health Consumer Concerns, Inc. (MHCC). In April
2013, certain financial discrepancies were reported to the Mental Health Commission (Commission). At the request
of the Commission, the Behavioral Health Division began a fiscal review of MHCC’s reimbursement contracts with
the County from 2007 to the present.
Since April 2013 a number of meetings were held between MHCC, Behavioral Health and Health Services Finance.
In August 2013, MHCC provided an analysis of net assets that showed MHCC had accumulated a reserve of
$369,392 during fiscal years 2007-2008, 2008-2009, and 2009-2010. MHCC admitted that $363,606.00 of that
reserve was owed to Contra Costa County. MHCC confirmed that this amount was transferred into its reserve from
various reimbursement contracts between 2007-2010. This action was outside of the scope of services because
MHCC’s contracts only permit reimbursement of costs that were incurred in the performance of the contractor's
obligations.
In October 2013 MHCC submitted a proposal to the Behavior Health Division, requesting that it continue to provide
services through December 31, 2013, while making some payment on the debt. This would avert a hard shut down of
MHCC and provide continuity to the consumers. The Behavioral Health Division has accepted this proposal and
proposes amending MHCC’s contracts to reflect those changes. Under the proposed contract amendments, the County
will reimburse MHCC for allowable expenses (after receipt of supporting documentation) through October 31, 2013.
MHCC will provide services in November and December 2013, but will not seek reimbursement for those expenses.
However, MHCC will be required to provide documentation supporting expenses incurred in those months. Under
this proposal the County could recover approximately $200,000.00 as an offset against the overall debt owed to the
County, leaving a remaining sum owing of approximately $163,000.00
Currently, the Behavioral Health Division has released an RFP for the services provided by MHCC at the Recovery
Centers in the three regions of the County. In addition, Behavioral Health has begun negotiations with another
contractor to provide the mandated Patient's Rights activities.
CONSEQUENCE OF NEGATIVE ACTION:
The County will be required to reimburse MHCC under the current contracts, and it will be unable to recover a
portion of the overall debt owed through the amended contracts.
CHILDREN'S IMPACT STATEMENT:
Not applicable.
CLERK'S ADDENDUM
Speakers: John Beavers, resident of Richmond; Jack Feldman, resident of Martinez; Jesse Hart, resident of
Speakers: John Beavers, resident of Richmond; Jack Feldman, resident of Martinez; Jesse Hart, resident of
Richmond; Adela Venegas, MHCC Richmond; Kenneth Melvin, MHCC; Mary Long, MHCC (handout attached);
Stan Baraghin, resident of Concord; Tom Scott, MHCC; Connie Steers, resident of Concord; Robyn Gutshall,
resident of Concord; Chelsey Holzer, resident of Bay Point; Jay Mahler, MHCC; Mary Hogden, MHCC;
Bernadette Banks, MHCC; Sally Zimmerman, resident of Berkeley; Dorio Hill, MHCC; Marianna Moore, Human
Services Alliance of Contra Costa; Ben Barr, Rainbow Community Center; Christy Johnson; Cynthia Staton,
MHCC (handout attached); Sandra Wright, resident of San Pablo. Renee Owens did not wish to speak, but left
written comments for the Board's consideration. ADOPTED recommendations as presented; and DIRECTED
staff to return to the Board with a proposal to recoup the remaining $163,000 and initiate a forensic audit of
Mental Health Consumer Concern expenditures