TITLE
Recommendation to authorize City Manager, or designee, to execute agreements, and all necessary documents, subcontracts, and any subsequent amendments, with the LA Care Health Plan and Health Net, to receive and expend grant funding in the amount of $480,077 for capacity building support to develop Community Supports, Housing Transition/Navigation Services, under California Advancing and Innovating Medi-Cal’s (CalAIM) Incentive Payment Program for a one-year period, estimated to begin in November 2022 with the option to extend the agreements for an additional one-year period, at the discretion of the City Manager; and
Increase appropriations in the Health Fund Group in the Health and Human Services Department by $480,077, offset by grant revenue. (Citywide)
DISCUSSION
CalAIM is a new initiative by the California Department of Health Care Services (DHCS) to improve the quality of life and health outcomes of Medi-Cal members by implementing a broad delivery system, program, and payment reform across the Medi-Cal program. The initiative seeks to: establish a population-health management framework to address social determinants of health and improve health equity statewide; focus on an Enhanced Care Management (ECM) approach; and, fund Community Supports (CS) which will serve as cost-effective alternatives to covered services in the Medi-Cal managed care delivery system.
CalAIM is comprised of interdisciplinary approaches to care that address the clinical and non-clinical needs of high-cost and/or high-need populations (populations of focus) in Medi-Cal through a systematic coordination of services and comprehensive, community-based care management. Populations of focus are defined as high utilizers of emergency services, people experiencing homelessness, and adults with serious mental illness or substance use disorder who are impacted by complex social factors. CalAIM is unique as it has an enhanced focus on and the incorporation of services that address the social determinants of health among high-risk and high-need populations.
Incentive Payment Program (IPP) funding supports the development of local infrastructure that aligns with CalAIM’s ECM and CS efforts by helping providers build compliance and oversight capabilities to ensure populations of focus are effectively served. The funds can be used for hiring staff to meet ECM and CS requirements, training ECM and CS staff in providing core competencies, and offering local service providers opportunities to access technical assistance around billing, reporting, data, workflows, and other aspects essential to meet CalAIM’s requirements.
On August 23, 2022, the City of Long Beach (City) was notified that its Round 1 IPP application was being awarded to the Homeless Services Bureau. The Homeless Services Bureau will use this first round of Community Supports IPP funding to develop the infrastructure required to provide Housing Transition and Navigation services, including the administrative and data infrastructure, such as connections to the electronic health record system and billing capabilities. Staff will be hired to develop the service delivery model, create standards of practice, and policies and procedures. Future rounds of capacity building funding will be pursued to support the subsequent phases involved in launching the CalAIM initiative in Long Beach.
This matter was reviewed by Deputy City Attorney Anita Lakhani on September 14, 2022 and by Budget Analysis Officer Greg Sorensen on September 23, 2022.
EQUITY STATEMENT
The City has incorporated the Equity Toolkit and strategies outlined in the Everyone Home Long Beach plan into this recommendation as requested by the City Council. This recommendation will assist people experiencing homelessness in Long Beach by providing critical resources and services to continue efforts to end and prevent homelessness in the Long Beach community.
TIMING CONSIDERATIONS
City Council action is requested on October 11, 2022, to commence the program as soon as possible and spend down the funds before the deadline set forth by the funder.
FISCAL IMPACT
The City will receive funding in an amount not to exceed $480,077 for a one-year period estimated to begin in November 2022. An appropriation increase is requested in the amount of $480,077 in the Health Fund Group in the Health and Human Services Department, offset by grant revenue. No match or in-kind service mandate is required. Any indirect costs that might not ultimately be eligible for grant funds will be funded by the Health Operating Fund, General Fund, or other eligible grant funds. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
KELLY COLOPY
DIRECTOR OF HEALTH
AND HUMAN SERVICES
APPROVED:
THOMAS B. MODICA
CITY MANAGER