Memorandum
Date: January 6, 2026
To: The Honorable Lake County Board of Supervisors
From: Elise Jones, Director of Behavioral Health Services
Subject: Consideration to Approve Amendment No. 5 to the Agreement Between the County of Lake and Community Behavioral Health for Specialty Mental Health Services for Fiscal Years 2023-24, 2024-25 and 2025-26.
Executive Summary:
Lake County Behavioral Health Services (“LCBHS”) is requesting Board approval of Amendment No. 5 to the Agreement between the County of Lake and Community Behavioral Health (“CBH”) for Specialty Mental Health Services for Fiscal Years 2023-24, 2024-25, and 2025-26. CBH provides a full range of Medi-Cal Specialty Mental Health Services, including assessment, plan development, medication support, rehabilitation, crisis intervention, and collateral services for youth and adult beneficiaries in Lake County.
Beginning in FY 2023-24, the State’s Medi-Cal Behavioral Health payment reform initiative resulted in significant increases to DHCS-published reimbursement rates. To align with these reforms and ensure continuity of reimbursement under Medi-Cal, the amendment transitions the current compensation methodology to a fee-for-service reimbursement model at fifty-nine percent (59%) of the DHCS-published rate, effective September 1, 2025. The amendment further clarifies payment timing requirements, establishes a provisional monthly service ceiling to support fiscal sustainability and cash-flow management, and memorializes the County’s authority to implement a standardized cost-allocation model for embedded providers occupying County space.
To support continued service delivery, system capacity, and projected utilization through FY 2025-26, the amendment also increases the Agreement maximum by $10,000,000, for a revised total contract maximum of $25,600,000. All other terms, provisions, and conditions of the original Agreement remain unchanged.
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Recommended Action: Approve Amendment No. 5 to the Agreement between the County of Lake and Community Behavioral Health for Specialty Mental Health Services for Fiscal Years 2023-24, 2024-25, and 2025-26, transitioning the compensation methodology to a 59% fee-for-service reimbursement model effective September 1, 2025, and increasing the total contract maximum to $25,600,000; and Authorize the Board Chair to sign.