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HEALTH SERVICES AGENCY / MENTAL HEALTH
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Requested Action(s)
recommendation
a) AGREEMENT - Request approval and authorization for the Executive Director to sign Amendment No. 2 to Misc. Agreement 2024-202, as amended by Misc. Agreement 2025-313, with Psynergy Programs Inc. for the purpose of providing long-term care for adults with serious mental illness in need of high-level placements, thereby amending the amount not to exceed to $550,000 during FY 25/26, with a total maximum compensation not to exceed $1,000,000, effective 7/1/24 and shall terminate 6/30/26 (Subject to receipt of required insurance documentation)
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Financial Impact:
Maximum Compensation amount is being increased by $100,000. Budget Unit is 40131 for Mental Health. Services will be paid for with Mental Health realignment and/or Mental Health Services Act (MHSA) funds allocated for medically necessary services. There is no impact to the General Fund.
Background Information:
On 6/25/24, the Board of Supervisors approved Misc. Agreement 2024-202 with this vendor for the purpose of providing long-term care for adults with serious mental illness. On 10/24/25, the Board of Supervisors approved Amendment No. 1 to amend the rates for fiscal year 25/26.
Placement is difficult for clients who need specialized residential care services. The Department has found an increased need for the vendor's services and along with the previous rate increases, has determined that the compensation amount should be adjusted to cover necessary services. Amendment No. 2 increases the compensation amount by $100,000 for a total of $550,000 for fiscal year 25/26 to ensure required services are covered. The approval of this Amendment will allow for the continued use of appropriate level facilities by Tehama County Mental Health clients. There continues to be need for multiple long-term clients to be placed with Psynergy Programs, Inc.
If Amendment No. 2 to the Agreement is not approved, clients who ar...
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