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HomeMy WebLinkAboutMINUTES - 06221993 - 1.12 (2) TO: 2. BOARD OF SUPERVISORS _ Contra SE.L FROM: Costa FROM: Perfecto Villarreal, Director Social Service Department County yet DATE: DATE: June 14, 1993 SUBJECT: SUBJECT: AUTHORIZATION TO EXTEND GAIN CHILD CARE CONTRACT: Contra Costa Child Care Council Contract #20-855-4 SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION RECOMMENDATION: APPROVE and AUTHORIZE the Social Service Department Director or his designee to extend the existing Greater Avenues for Independence (GAIN) funded contract #20-855-4 with Contra Costa Child Care Council from June 30, 1993 to August 31, 1993 and to amend it by increasing the payment limit by $124,720 from $657,880 to $782 , 600. The additional time and funds are required to continue the contracted function while the Department considers transferring it in-house. If the decision is to . make the transfer, then the extension will allow a period of adjustment for both the Department and the contractor, as well as continuity of payment flow to the providers of the child care. REFER the matter to the Board's Finance Committee for CONSIDERATION and 'RECOMMENDATION of whether the Social Service Department should : itself perform the functions covered by this contract. FINANCIAL IMPACT: The County share of GAIN Program costs is 15%, and is a required local share. The two-month extension and new payment limit provide for an additional $100, 000 in child care cost and an additional $24,720 in administrative cost. County share is $18,708, and State share is $106, 012 . BACKGROUND: The Social Service Department has been contracting with Contra Costa Child Care Council for GAIN Program child care provider payment services since July, 1990. CONTINUED ON ATTACHMENT: V YES SIGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATUREM: : ACTION OF BOARD ON J U N 2 2 19.93 APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE _LeL UNANIMOUS(ABSENT ^r ) AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN. contact: Y. Bullock 313:-1583 JUN 2 2 1993 CC: SOCIAL SERVICE (CONTRACTS UNIT) ATTESTED PHIL BATCHELOR,CLERK OF THE BOARD OF COUNTY ADMINISTRATOR SUPERVISORS AND COUNTY ADMINISTRATOR AUDITOR-CONTROLLER CONTRACTOR BY DEPUTY M382 (10/88) June 141, 1993 AUTHORIZATION TO EXTEND GAIN CHILD CARE CONTRACT page 2 BACKGROUND (Cont'd) : The primary reason for the original contract was that County Counsel opposed the Department's making direct payments to child care providers. In September, 1992 County Counsel advised the Department to use a child care agreement form, which Counsel had reviewed, in making arrangements to pay licensed day care centers, licensed family day care homes, and after school programs at public elementary schools. Now the Department can make direct payments to these specific types of licensed providers without ,Counsel objecting on the basis of it increasing the potentialfor ' incurring employer liability, which was the basis of Counsel's original objection. Thus the original reason for contracting the function outside the Department has been eliminated. The two-month extension will allow time for study by the Finance Committee and further time for transition or renegotiation, depending on the committee's recommendation. Based on experience in other child care programs, it is the opinion of Department management that the Department can perform the contracted function more cost efficiently than the contractor. Administrative cost in Department-run child care programs averages 16. 6% of total cost. This contract extension allows just under 20% for administration, and the Child Care Council has stated that its actual costs are about 25%. Program administration cost under contract is funded out of the GAIN Child Care allocation. Program administration performed in-house is funded from the GAIN Staffing allocation, leaving the Child Care allocation available to pay for more child care.