Memorandum
Date: April 7, 2026
To: The Honorable Lake County Board of Supervisors
From: Elise Jones, Director of Behavioral Health Services
Subject: Approve Agreement Between the County of Lake and Lake County Office of Education (LCOE) for the Provision of Specialty Mental Health Services (SMHS) for Fiscal Year 2025-26 in an Amount not to exceed $1,200,000, and authorize the Chair to sign the Agreement.
Executive Summary:
Lake County Behavioral Health Services (LCBHS) is responsible for providing or arranging Specialty Mental Health Services (SMHS) to Medi-Cal beneficiaries under its contract with the California Department of Health Care Services (DHCS). This agreement allows the Lake County Office of Education (LCOE) to continue providing medically necessary SMHS to eligible Medi-Cal beneficiaries under age 21 at Medi-Cal certified school sites throughout Lake County. Covered services include assessment, psychotherapy, crisis intervention, case management, and other related outpatient specialty mental health services.
During the prior fiscal year (July 1, 2024 through June 30, 2025), a total of 112 youth were served through this school-based partnership, demonstrating the ongoing need for accessible behavioral health services for children and adolescents in Lake County. Delivering services in school settings supports early identification and treatment of behavioral health conditions, reduces barriers to care, and promotes improved educational and social outcomes.
The agreement term is July 1, 2025 through June 30, 2026, with total compensation not to exceed $1,200,000. Reimbursement is 55% of the applicable DHCS-published Specialty Mental Health Services rate(s) and is contingent upon successful claim adjudication and eligibility for Federal Financial Participation (FFP), which is determined in part by Medi-Cal eligibility factors including the beneficiary’s aid code. Payments are therefore limited to services that meet applicable federal and state claiming requirements and remain subject to the availability of federal, state, and county funding.
Basis for exemption from competitive bidding: This agreement continues an established interagency partnership with the Lake County Office of Education to deliver Medi-Cal certified specialty mental health services directly within school settings across the county. LCOE is uniquely positioned to provide these services through its existing relationships with school districts, infrastructure for delivering services on campuses, and coordination with educational staff and families. Pursuing a competitive bidding process would risk disruption of ongoing behavioral health services for vulnerable youth and interfere with the County’s ability to meet its obligations under the Medi-Cal Specialty Mental Health Services program. For these reasons, it is in the County’s best interest to waive the competitive bidding requirement to ensure continuity of care and uninterrupted access to school-based behavioral health services.
Approval of this agreement will ensure continued access to medically necessary school-based Specialty Mental Health Services for eligible youth throughout Lake County.
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Recommended Action: Approve Agreement Between the County of Lake and Lake County Office of Education (LCOE) for the Provision of Specialty Mental Health Services (SMHS) for Fiscal Year 2025-26 in an Amount not to exceed $1,200,000, and authorize the Chair to sign the Agreement.