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Department of Human Services recommending the Board approve and authorize the Purchasing Agent to execute Amendment I to Agreement for Services 252-S1010 with Star View Children and Family Services, a group home, for the provision of emergency shelter care and/or foster care placement services on an "as requested" basis. Amendment I to Agreement 252-S1010 amends the term of the agreement from a three-year term to a perpetual agreement that shall continue until terminated. Amendment I also increases the maximum annual compensation from $57,470 for the three-year term to $300,000 for Fiscal Year 2010-11 and subsequent fiscal years.
FUNDING: Federal and State Social Services Allocation with required County Share of Cost met primarily with realignment resources.
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BUDGET SUMMARY: |
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Total Cost of this Action |
$300,000 maximum annual compensation |
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Contract History |
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Original Contract |
$57,470 for a three-year term |
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Amendment I |
$300,000 maximum annual compensation each fiscal year |
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Total Funding Available $300,000.00
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Change To Net County Cost |
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N/A |
Fiscal Impact/Change to Net County Cost: No change.
The contract provides for a range of placement services. Emergency shelter care services, which are necessary pending Court-ordered case disposition, require a 15% to 30% County share of cost. Court-ordered foster care placement services require a 40% to 60% County share of cost. The State reimburses the County for the federal and state share of cost in a varying ratio based on an array of circumstances. A total of $5,976,979 is included in the Department's budget for provision of emergency shelter care and foster care services during FY 2010-11. Funds for these services are budgeted annually based on projected need. The not-to-exceed annual compensation of $300,000 allows for anticipated maximum potential usage.
Compensation: Payments to service provider are made monthly in arrears and within fifteen (15) days following notification that a child has been placed at the facility. Compensation is based upon the State-assigned Rate Classification Level of the group home/foster family agency providing services to the child placed at the facility.
Termination: Agreement includes the County's standard Fiscal Considerations termination language as well as a provision for the County to terminate Agreement without cause in seven (7) calendar days upon written notice.
Reason for Recommendation: On December 17, 2009, the Purchasing Agent executed Agreement for Services 252-S1010 with Star View for the provision of as-needed emergency shelter care and/or foster care placement services for certain children who have been taken into protective custody by DHS. The initial term of the Agreement was three years with a maximum not-to-exceed compensation of $57,470. The agreement was established in the event that DHS needed to place a child in this group home but was not based on a specific placement need at the time.
In April 2010, DHS needed to place a high risk child at this group home and anticipates the child may remain there until December 2012. The monthly rate for placements is set by the State and is currently $8,835 per month for high risk placements. At this rate, annual costs for this placement alone would be $106,020. In order to accommodate this placement and meet potential future placement needs with Star View, DHS is recommending that the term of the Agreement be amended from a three-year term to a perpetual term and that its compensation be increased from $57,470 for three years to $300,000 for FY 2010-11 and each subsequent fiscal year.
Although DHS does not anticipate reaching the $300,000 maximum annual amount for this vendor in this or any other single fiscal year, this annual not-to-exceed amount provides DHS the flexibility necessary to enable accommodation of current demand and any sudden increase in the need for multiple placements with this particular vendor. Working in conjunction with the CAO, the Department has established a tracking system that regularly monitors the level of expenditures for combined placement services as well as for each individual vendor. This tracking system allows DHS to ensure that overall expenditures remain within budget, while also allowing sufficient time to amend any individual agreement for which actual placement costs will exceed its annual not-to-exceed maximum compensation amount.
Action to be taken following Board approval:
1. Purchasing Agent to execute two (2) copies of the approved Amendment 1 to Agreement 252-S1010 and return one (1) original of the Amendment to Human Services at 3057 Briw Road
2. Human Services to distribute the document as appropriate.
Contact: Daniel Nielson, M.P.A. x7275
Concurrences: County Counsel, Risk Management and Human Resources