The recommended contract amendments recognize the ongoing service interruptions faced by Contra Costa Behavioral Health Services (CCBHS) contracted community-based service providers due to COVID-19. The rate adjustments will ensure that contracted substance use disorder (SUD) and mental health service providers have sufficient revenue to maintain staff service levels to continue provision of mandated services to Medi-Cal eligible residents with substance use and mental health disorders with no change to the contract payment limits or terms. The contracts are funded with dedicated State 2011 Realignment and Federal Financial Participation dollars. No County General Fund dollars are utilized.  
  

Since FY 2019-20 COVID-19 has impacted community based behavioral health providers in Contra Costa County. The rise in the number of COVID-19 cases in late 2021 and the recent surge of the Omicron variant continue to strain the operations of CCBHS contracted service providers that deliver critical services to vulnerable residents. Undermining infection control measures, Omicron’s rapid transmissibility has led to client and staff sick leaves and thus to staff shortages and program shutdowns, which has hindered normalization of service delivery. The decrease in productivity has impacted providers’ ability to generate revenue and remain fiscally solvent. While Outpatient providers remarkably shifted to virtual platforms during the pandemic, telehealth is not suitable for all individuals and presents real challenges to populations already disproportionally impacted. The request to temporarily increase the rates will ensure community based organizations (CBOs) will be able to remain solvent throughout the continued pandemic and thus be able to resume the full array and volume of services to the community when COVID-19 service interruptions cease.

If these contract amendments are not approved, the residents of Contra Costa County will experience reduced or discontinued behavioral health services.