Memorandum
Date: August 5, 2025
To: The Honorable Lake County Board of Supervisors
From: Elise Jones, Director of Behavioral Health Services
Subject: Consideration of Agreement Between County of Lake and New Life Health Authority DBA New Life, LLC for Substance Use Disorder Outpatient Drug Free Services, Intensive Outpatient Treatment Services, and Narcotic Treatment Program Services in an amount not to exceed $12,000,000 for Fiscal Year 2025-26
Executive Summary:
Lake County Behavioral Health Services (LCBHS) seeks approval of the FY 2025-2026 agreement with New Life, LLC, a licensed provider of residential substance use disorder treatment at the ASAM 3.1 level of care. This agreement supports services delivered to adult Medi-Cal beneficiaries, with a total contract amount not to exceed $12,000,000.
New Life plays a critical role in maintaining Lake County's Drug Medi-Cal Organized Delivery System (DMC-ODS) network adequacy. The ASAM 3.1 level of residential care is a required benefit under DMC-ODS, yet no such services currently exist within Lake County. Contracting with out-of-county providers like New Life is essential to ensure compliance with DHCS requirements and to preserve timely access to medically necessary residential treatment for those experiencing moderate to severe substance use disorders.
In FY 2024-2025, New Life served 138 unduplicated clients and provided 18,252 total services under this agreement. These services included comprehensive treatment, counseling, case management, and support focused on stabilization and recovery for individuals with complex SUD needs.
This agreement is consistent with the County's Purchasing Ordinance. LCBHS has contracted with New Life for several years due to the lack of comparable in-county providers and the agency's consistent capacity to meet clinical standards and culturally responsive practices. The unique fiscal structure of this contract further supports approval: there is no County General Fund imp...
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