Important note: the following recommendation was approved by the Board of Supervisors on June 21, 2016:

To:              Honorable Board of Supervisors

From:          Louise Rogers, Chief, Health System; Stephen Kaplan, Director, Behavioral Health & Recovery Services

Subject:      Agreement with HealthRIGHT 360 for Substance Use Disorder Treatment Services, Medication Assisted Treatment Services, Outpatient Mental Health Services, and Outreach and Engagement Services


Adopt a resolution authorizing an agreement with HealthRIGHT 360 for substance use disorder treatment services, medication assisted treatment services, outpatient mental health services through the Mental Health Plan, and outreach and engagement services, for the term July 1, 2016 through June 30, 2017, in an amount not to exceed $5,428,919.


In 2014, HealthRIGHT 360 (HR360) merged with two community-based organizations that independently contracted with the County: Asian American Recovery Services and Women’s Recovery Association. HR360 services include: substance use prevention and treatment services; mental health services to seriously emotionally disturbed students at middle schools within San Mateo County; outpatient mental health services authorized by the Mental Health Plan (MHP); and the North County Outreach Collaborative (NCOC) providing outreach, linkage, and case management services to emotionally disturbed youth and others residing in the north region of the County. 

In April 2015, Behavioral Health and Recovery Services (BHRS) released a Request for Proposals (RFP) for school-based mental health services to four middle schools in the County to serve Severely Emotionally Disturbed children. HR360 responded with a proposal that was selected to provide these services.


HR360 has been and shall continue to be the fiscal and lead agency for the North County Prevention Partnership by providing substance use prevention services in the Daly City and Pacifica region. HR360 will also provide substance use disorder treatment services to adults, youths, and families, including outpatient, residential treatment and medication assisted treatment, sober living environments, and case management services. In addition, HR360 will provide school-based mental health services,  outpatient mental health services through the MHP, and outreach and engagement services through the NCOC.

An amendment to the existing agreement with HR 360 for a separate group of FY2015- 16 services is being simultaneously brought to your Board for approval.

Under the B-1 Administrative Memorandum, agreements that provide housing services and related supports are exempt from the RFP process. HR360 is one of six residential treatment providers in the County.

In April 2016, the California Department of Health Care Services and the federal government approved the Drug Medi-Cal Organized Delivery System waiver. The Drug Medi-Cal waiver will change the delivery of substance use disorder services, allowing providers such as HR 360 to bill for many more services than they were previously able. Therefore, BHRS is requesting that the Board waive the RFP process for outpatient substance use disorder treatment services for one year, allowing time for BHRS to establish the quantity of provider services, as well as how services will be delivered due to implementation of the Drug Medi-Cal Organized Delivery System waiver.

The Resolution contains the County’s standard provision allowing amendment of the County’s fiscal obligations by a maximum of $25,000 (in aggregate).

The agreement and Resolution have been reviewed and approved by County Counsel as to form.

Approval of this agreement contributes to the Shared Vision 2025 outcome of a Healthy Community by providing individuals and families in the County with prevention and treatment services to support recovery, which in turn contributes to the health and  safety of communities throughout the County. Successful treatment discharge occurs when a program participant completes his/her treatment/recovery plan or when a participant is transferred to the next appropriate level of care. It is anticipated that 59% of clients will achieve a successful treatment discharge.



FY 2015-16 Estimated

FY 2016-17 Projected

Percentage and number of program participants with a successful treatment discharge


216 clients


224 clients


The term of the agreement is July 1, 2016 through June 30, 2017. The amount of the agreement is not to exceed $5,428,919. Of this amount, the Mental Health Services Act will fund $556,188, Federal Financial Participation for Drug Medi-Cal and Managed   Care will fund $197,455, Healthy Kids and HealthWorx for Mental Health Managed Care will fund $27,000, Medicare for Mental Health Managed Care will fund $63,000, Capitated Medi-Cal Expansion from the Health Plan of San Mateo will fund $974,694, CalWORKs will fund $62,278, the Substance Abuse and Prevention Treatment Block Grant will fund $779,084, Measure A will fund $240,549, 2011 Realignment for Mental Health Managed Care and Drug Court will fund $508,123, and AB109 will fund $278,877. The remaining $1,741,671 is Net County Cost.

Funds for these services are included in the BHRS FY 2016-17 Recommended Budget. The payment provisions and levels of service remain essentially the same as those of the prior agreement.

Important note: this is a copy of the official report -- item 25 on the Board's agenda.