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HEALTH SERVICES AGENCY / MENTAL HEALTH
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Requested Action(s)
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a) AGREEMENT - Request approval and authorization for the Executive Director to sign Amendment #2 with Netsmart Technologies (Misc. Agree #2023-205 amended by Misc. Agree#2024-305) for the provision of electronic health record software licenses, maintenance, and the mandatory implementation of new state requirements for CalAIM, with a maximum compensation not to exceed $983,931.12, effective on the date of execution and shall terminate 6/30/25
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Financial Impact:
The cost of the agreement is included in the requested annual budgets for budget units 40131, 40171 and 40251. These are funded through the Mental Health Services Act (MHSA) Capital Facilities and Technology (CFT) Workplan, 1991 Health Realignment, and 2011 Behavioral Health Realignment, client fees, Medi Cal, and MediCare. The maximum compensation amount is being increased by $134,400. There is no impact to the General Fund.
Background Information:
On June 27, 2023, the Board of Supervisors approved Misc. Agreement #2023-205 with Netsmart Technologies, Inc. for the MyAvatar electronic health record licensing, maintenance, & support, as well as the Revenue Cycle Management (RCM) services. An amendment (Misc. Agreement #2024-305) was approved by the Board of Supervisors on September 24, 2024.
This Amendment #2 increases the maximum compensation amount by $134,400 for the provision of Application Management Services (AMS) consulting services. These services are being utilized to assist the agency in completing the CalAIM requirements set forth by the state.
The state of California is implementing the California Advancing and Innovating Medi-Cal (CalAIM) initiative. The goals of CalAIM are to:
1. Identify and manage comprehensive needs through whole person care approaches and social drivers of health.
2. Improve quality outcomes, reduce health disparities, and transform the delivery system through value based initiatives, modernization, and payment reform.
3. Make Medi-Cal a more consistent and seamless system for enrollees to navigate by reducing complexity and increasing flexibility.
CalAIM requires significant changes to service delivery, data collection, outcome measures reporting, financial reporting and client billing. Netsmart Technologies has been assisting the Department in achieving compliance with the complicated changes under CalAIM by providing all necessary software updates, consulting services and training. If not approved, the Department would not have the additional dollars necessary for completion of training and software development and would be unable to reach compliance for the CalAIM data reporting requirements.