Title
a. Approve and authorize the Director of Health Services or designee to execute a retroactive Mental Health Services Agreement between the County of Monterey and Inspire Behavioral Health, LLC for the provision of mental health services to Monterey County adult residents with severe psychiatric disabilities in a secure Skilled Nursing Facility as an Institution for Mental Disease (IMD), for a maximum County obligation of $1,489,685 for the term of July 1, 2025 through June 30, 2026; and
b. Approve the Director of Health Services recommendation to accept non-standard Commercial General Liability insurance provisions of claims-based coverage; and
c. Approve and authorize the Director of Health Services or designee to execute up to three (3) future amendments that do not exceed 10% ($148,968) of the original Agreement, do not significantly change the scope of services, and do not increase the total not to exceed maximum amount over $1,638,653.
Report
RECOMMENDATION:
It is recommended that the County of Monterey Board of Supervisors:
a. Approve and authorize the Director of Health Services or designee to execute a retroactive Mental Health Services Agreement between the County of Monterey and Inspire Behavioral Health, LLC for the provision of mental health services to Monterey County adult residents with severe psychiatric disabilities in a secure Skilled Nursing Facility as an Institution for Mental Disease (IMD), for a maximum County obligation of $1,489,685 for the term of July 1, 2025 through June 30, 2026; and
b. Approve the Director of Health Services recommendation to accept non-standard Commercial General Liability insurance provisions of claims-based coverage; and
c. Approve and authorize the Director of Health Services or designee to execute up to three (3) future amendments that do not exceed 10% ($148,968) of the original Agreement, do not significantly change the scope of services, and do not increase the total not to exceed maximum amount over $1,638,653.
SUMMARY/DISCUSSION
The County contracted with Inspire Behavioral Health, LLC for mental health services to Monterey County adult residents with severe psychiatric disabilities in a Skilled Nursing Facility for the periods of Fiscal Years (FY) 2008-2025. Inspire Behavioral Health, LLC is a Skilled Nursing Facility, Institution for Mental Disease for adults with psychiatric impairments and disabilities that required a locked skilled nursing level of care. Treatment includes individualized programs and services to assist clients in their development of new skills.
This Agreement with Inspire Behavioral Health, LLC is for one (1) fiscal year term from July 1, 2025 to June 30, 2026, which renews and updates Agreement A-17000 ending June 30, 2025. This Agreement renews the same contract provisions but increases the number of beds from nine (9) to eleven (11) beds based on historical usage.
Due to late and ongoing contract negotiations, with direction for an effective date of July 1, 2025, the agreement took additional time to review and agendize, which by necessity makes the agreement retroactive when presented to your board.
Approval of this Agreement meets the requirements of the State Welfare and Institutions Code 5600 (Bronzan-McCorquodale Act) and the California Code of Regulations Titles 9 &22 and sustains the continuity of core services to seriously mentally ill clients of Monterey County.
This Agreement contains the County’s standard 30-day “no cause” provision (Section V, B) and an additional defunding provision (Section V, D), which provides the County the ability to amend or terminate the Agreement in the event of a reduction and/or termination of funding.
This Agreement contains a non-standard insurance provision of claims-based coverage. Like the previous years, the vendor is able to provide a claims-based coverage subject to a $3,000,000 aggregate claim amount as part of its Commercial General Liability insurance.
This work supports the following County of Monterey Health Department 2025-2028 Strategic Plan Goal(s): 3) Ensure access to culturally and linguistically appropriate, customer-friendly, quality health services. It also supports one of the ten essential public health services, specifically: 7) Link people to needed personal health services and assure the provisions of health care when otherwise unavailable.
OTHER AGENCY INVOLVEMENT:
The Office of the County Counsel and Auditor-Controller have reviewed and approved this Agreement as to form and fiscal provisions, respectively.
FINANCING:
This Agreement is funded by the 1991 Realignment funding. The funds for this Agreement are included in the Health Department’s Behavioral Health (HEA012, Unit 8410) Fiscal Year 2025-26 Adopted Budget.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
Check the related Board of Supervisors Strategic Initiatives:
☐ Economic Development:
• Through collaboration, strengthen economic development to ensure a diversified and healthy economy.
☐ Administration:
• Promote an organization that practices efficient and effective resource management and is recognized for responsiveness, strong customer orientation, accountability and transparency.
☒ Health & Human Services:
• Improve health and quality of life through County supported policies, programs, and services; promoting access to equitable opportunities for healthy choices and healthy environments in collaboration with communities.
☐ Infrastructure:
• Plan and develop a sustainable, physical infrastructure that improves the quality of life for County residents and supports economic development results.
☐ Public Safety:
• Create a safe environment for people to achieve their potential, leading businesses and communities to thrive and grow by reducing violent crimes as well as crimes in general.
Prepared By: Tami Nguyen, Management Analyst, 279-4740
Approved by: Elsa Mendoza Jimenez, Director of Health Services, 755-4526
Attachment:
Board Report
Agreement