Special Notice / Hearing: None__
Vote Required: Majority
To: Honorable Board of Supervisors
From: Louise F. Rogers, Chief, San Mateo County Health
Lisa Mancini, Interim Director, Behavioral Health, and Recovery Services
Subject: Amendment to the Agreement with Health Plan of San Mateo for Pharmacy Benefits Administration
RECOMMENDATION:
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Adopt a resolution authorizing an amendment to the agreement with the Health Plan of San Mateo for pharmacy benefits administration, extending the term through December 31, 2023, and increasing the amount by $800,000 to an amount not to exceed $7,850,000.
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BACKGROUND:
Since 2010, Behavioral Health and Recovery Services (BHRS) has utilized the Health Plan of San Mateo’s (HPSM) pharmacy benefits administration services for BHRS clients requiring psychiatric medication. The services are provided to indigent adults and Medi-Cal members carrying a “share of cost,” i.e., clients not covered by the Medi-Cal funding structure and for whom BHRS is financially responsible.
On December 15, 2015, this Board approved an agreement with HPSM for the term of July 1, 2015 through June 30, 2018, for BHRS to utilize HPSM’s pharmacy benefits administration services for clients requiring psychiatric medication, in an amount not to exceed $2,700,000.
The agreement has since been amended multiple times to extend the term and increase the amount. The most recent amendment took place on January 2022 to extend the term through December 31, 2022 and increase the amount by $1,000,000, to an amount not to exceed $7,050,000.
DISCUSSION:
HPSM will continue to administer the pharmacy benefits provided to BHRS indigent adult clients and Medi-Cal members carrying a share of cost.
It is now necessary to extend the term for an additional year through December 31, 2023 and increase the maximum amount by $800,000 for HPSM to continue to provide the services described above.
The amendment and resolution have been reviewed and approved by County Attorney as to form. This amendment is coming to this Board late due to delayed notification from HPSM.
It is anticipated that 84% of clients who receive services will be maintained at current or lower level of care.
PERFORMANCE MEASURE:
|
Measure |
FY 2021-22 Actual |
FY 2022-23 Estimated |
|
Percentage of clients who receive services that are maintained at current or lower level of care |
86% 5049 of 5852 clients |
84% 4213 of 5016 clients |
FISCAL IMPACT:
The term of the amended agreement is July 1, 2015 through December 31, 2023. The amendment increases the contract amount by $800,000 to an amount not to exceed $7,850,000 for the 102-month term. Of the increase, it is anticipated that $400,000 will be allocated for the period January 1, 2023 through June 30, 2023 of FY 2022-23 and will be funded as follows: $350,000 by Realignment and $40,000 will be Net County Cost. These funds are included in the BHRS FY 2022-23 Adopted Budget. Similar arrangements will be made for FY 2023-24 Recommended Budget from July 1, 2023 through December 31, 2023.