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Approve an Intergovernmental Agreement with the California Department of Health Services to provide covered Drug Medi-Cal Organized Delivery System (DMC-ODS) services for substance use disorder treatment for Solano County beneficiaries for the period of July 1, 2025 through December 31, 2026; and Delegate authority to the County Administrator to execute the agreement
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Published Notice Required? Yes _____ No __X__
Public Hearing Required? Yes _____ No __X__
DEPARTMENTAL RECOMMENDATION:
The Department of Health and Social Services recommends that the Board of Supervisors approve an intergovernmental agreement with the California Department of Health Care Services to provide covered Drug Medi-Cal Organized Delivery System (DMC-ODS) services for substance use disorder treatment for Solano County beneficiaries for the period of July 1, 2025 through December 31, 2026; and delegate authority to the County Administrator to execute the agreement.
SUMMARY:
Beginning July 1, 2020, Solano County entered into a contract with the Department of Health Care Services (DHCS) to participate in the Organized Delivery System (ODS), and simultaneously, entered into a master agreement with Partnership HealthPlan of California (PHC) in which Solano County delegated and oversaw the implementation of related federal and State requirements. PHC developed this approach to include Solano County and six other counties as a strategy to promote county participation in the Drug-Medi-Cal Organized Delivery System (DMC-ODS), as the provision of substance use treatment is known to positively impact other high-cost healthcare services and outcomes.
Approval of the intergovernmental agreement with DHCS will allow for the continuation of covered DMC-ODS services for substance use disorder treatment for Solano County beneficiaries through December 31, 2026.
FINANCIAL IMPACT:
The zero-dollar contract outlines DHCS requirements for Solano County to operate the DMC-ODS plan. This request is technical, and there are no significant impacts on the program or program funding. Federal, State, and local funding provides reimbursement for services delivered in the ODS plan.
DISCUSSION:
On May 12, 2020, the Board authorized participation in the California Department of Health Care Services’ (DHCS) Organized Delivery System (ODS) pilot for substance use treatment services under Medi-Cal and the execution of an agreement with Partnership HealthPlan of California (PHC) to oversee the delivery of services under the Organized Delivery System (ODS). PHC developed this approach to include Solano County and six other PHC counties as a strategy to promote county participation in the ODS, as the provision of substance use treatment is known to positively impact other high-cost healthcare services and outcomes.
While most individuals receiving public behavioral health services are Medi-Cal eligible, Solano County has historically served a relatively small number of “safety net” clients with substance use disorders (SUDs) who are uninsured and not Medi-Cal eligible. To eliminate the need for Solano County to create a duplicative system for this smaller population, PHC included these clients in their regional approach. Previously, SUD services were mainly funded by the federal Substance Use Block Grant.
Due to the regional model, individuals seeking treatment can be served anywhere in the seven counties, if the need arises, significantly increasing the opportunity for treatment availability when the beneficiary is ready, including residential beds. This is a notable change from years prior to 2020, when it was common for beneficiaries to have a lengthy wait time for a placement location to open within Solano County. With PHC administering the program, Solano County has benefited from the increased substance use disorder workforce development among regional-model providers, and clients have better access to integrated healthcare options overall.
With the Board’s approval of the intergovernmental agreement with the California Department of Health Care Services, covered DMC-ODS services for substance use disorder treatment will continue to be provided for eligible Solano County beneficiaries through December 31, 2026.
ALTERNATIVES:
The Board may choose not to approve the intergovernmental agreement with DHCS and participation in the ODS. However, this is not recommended because participation has improved the service array and reimbursement available for substance use disorder treatment. All neighboring counties have implemented the ODS and to not continue participating would put Solano County at a competitive disadvantage with higher rates of payment in the region.
OTHER AGENCY INVOLVEMENT:
Health and Social Services works with Partnership HealthPlan of California to operate the DMC-ODS Plan.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION