Board Of Supervisors — Tuesday, September 16, 2025

I am recommending your Board make the following addition to your meeting calendar for 2025: Tuesday, September 30, 2025 - Special Meeting @ 5:00 p.m. Workshop with the County, City of Lakeport, City of Clearlake and Sonoma Clean Power Location: County of Lake Courthouse Board of Supervisors Chambers 255 N. Forbes Street Lakeport, CA 95453

Approve Addition of Special Meeting for Tuesday, September 30, 2025 to the Board's Annual Meeting Calendar.

The Lake County Board of Supervisors approved the purchase of in-car and body-worn cameras on May 20, 2025. Prior to implementation, the Sheriff's Office has recognized the need for integrating Sunridge Systems RIMS CAD with Motorola V700 and M500 cameras, along with Evidence Library Cloud, which will greatly improve operational efficiency, officer safety, and evidentiary integrity. Currently, camera footage must be manually matched to CAD events, which is time-consuming and prone to error. With this integration, CAD incident data will automatically populate into the camera systems, ensuring every recording is tagged with the correct incident number, date, time, and location. This automation will reduce administrative workload, improve the accuracy of case records, and ensure critical events are captured without relying on manual activation. Evidence will upload directly to Evidence Library Cloud with CAD data embedded, preserving chain of custody from capture to storage. The result is a seamless, end-to-end system that enhances transparency, supports investigations, reduces risk of error, and saves staff time-delivering both operational and cost benefits to the County. The Fifteenth amendment to the Agreement between the County of Lake and Sun Ridge Systems, Inc is attached for your review and approval. Funding is allocated in the Sheriff/Dispatch budget 2202. Since this is an existing contract, this service is proprietary to Sun Ridge Systems; therefore, we are requesting an exemption of the competitive bidding process pursuant to Section 2-38.5 of the County purchasing policy.

(a) Approve Fifteenth amendment to agreement between the County of Lake and Sun Ridge Systems, Inc for the purchase of Rims Body Camera Link software in the amount of $3,000, plus installation of $900.00, and annual support of $450.00; and (b) Authorize the Chair of the Board to sign.

The Lake County Department of Social Services (LCDSS) contracts with Redwood Toxicology Laboratory, Inc. for the provision of drug and alcohol testing for Child Welfare Service (CWS) client families. Drug testing is, in many cases, required by law, and is necessary to ensure child safety and participant compliance with required programs. The original agreement authorized LCDSS to spend up to $30,000.00 per fiscal year from 2023 to 2026. On August 20, 2024, the Board of Supervisors (BOS) approved an amendment increasing the compensation limit to $35,000.00 for fiscal year 23-24. Due to an increase in Fentanyl use, with Lake County exhibiting the highest per capita rates in California, LCDSS must spend more than was anticipated in the original contract. Fentanyl cannot be detected in a routine toxicology report and requires specialized testing that costs more. This Second Amendment increases the maximum allowance to $60,000.00 per fiscal year from 2024 to 2026. This increase is necessary to ensure the continued wellness of child-client outcomes, as well as LCDSS's compliance with court orders.

Approve Second Amendment to the Contract between County of Lake and Redwood Toxicology Laboratory, inc. for Drug and Alcohol Testing, in the amount of $35,000.00 from July 1, 2023, to June 30, 2024, and $60,000.00 per fiscal year from July 1, 2024, to June 30, 2026, and authorize the Chair to sign.

The Lake County Air Quality Management District (District) is required to follow the legal process outlined in California Health and Safety Code in order to adopt new rules or fees, modify existing rules, and repeal rules. The District Board approved Resolution #2025-113 on September 9, 2025. District staff discovered an error in Section 660.34 that added 2 digits to the fee amount for Asbestos NESHAP Notifications. The error occurred during the formatting process for the adoption hearing. The fee amount was listed correctly for the workshops. District staff is requesting this amendment to formally correct the error. Additionally, District Staff has proposed the addition of Item 10 in the Therefore Section of Resolution #2025-113. The language proposed is: "The Air Pollution Control Officer shall provide an annual update to the District Board of Directors during the District draft budget hearing of the quantity of new operating permits issued, renewal permits issued, and dropped permits for the prior year". The attachments provided include the District Staff Report and proposed Rules, as corrected, for adoption, and Resolution for consideration by the Board of Directors.

That the Board of Directors adopt the Resolution Amending Resolution #2025-113 Repealing Sections 631, 12.450, 12.640, Chapter IV and Article VI in their entirety, and adopting updates to Sections 208.2, 226.5, 433.5, 1002, 1105, a new Chapter IV, and article VI Sections 660-668 of Lake County Air Quality Management District Rules and Regulations

Master Gardener Program Coordinator Louise Pagone will give a presentation to your Board on the Master Gardener Program of Lake County.

Presentation Only.

The County of Lake Internship Program offers high school students, college students, and recent graduates an opportunity to gain hands-on experience in various county departments and help with critical public services. Interns will work closely with department leaders and staff to develop practical skills while contributing to community projects and initiatives. At this time, I would like to introduce our 2025 interns, who will give a brief presentation about the 2025 internship program.

Presentation Only.

Lake County Behavioral Health Services (LCBHSis bringing forward this item to provide context to the Department's 9-month loan extension request. This memorandum discusses recent cash flow challenges associated with statewide payment reforms, the County's Electronic Health Record (EHR) transition, and the structural shift in how Medi-Cal services are financed under CalAIM. Additionally, this memorandum covers recent mitigation steps and proposed next steps, which include a proposal to return in 10-weeks with a comprehensive fiscal repayment plan. As described in more detail in the following memorandum, while LCBHS' core mission remains client care, the Department is laser-focused on achieving durable fiscal stability and independence. To that end, LCBHS is in the process of transitioning internal processes, contracts, and financial forecasting to stabilize cash flow, rebuild reserves, and repay the General Fund loan.

Two Major Transitions in 2023 In 2023, two significant changes occurred simultaneously that depleted cash reserves: * EHR Transition (March 2023): The Department implemented a new EHR system, requiring staff retraining and system reconfiguration before Medi-Cal claims could be billed correctly, resulting in an 8-month delay in billing reimbursement * State Payment Reform (July 2023): In addition to new billing codes and requirements, the State shifted counties to a new Intergovernmental Transfer (IGT) reimbursement model, requiring significant cash on hand to receive revenues. From March-December 2023, revenue totaled only $1.97 million, compared to $7-8 million expected, due to simultaneous billing delays from the EHR transition and the payment reform rollout. Recent Insight: The True Ceiling Under CalAIM As we have stabilized billing, a new structural reality of CalAIM has become clear: * Under the old model, Medi-Cal fee-for-service appeared "open-ended," with DHCS reimbursing the full cost of services. * Under CalAIM, reimbursement is split, depending on the set service rate and an individual beneficiary's Medi-Cal aid code. DHCS pays only the federal share, and the County must provide the local share (drawn from realignment and MHSA) before claiming the rest through the IGT process. In many instances, the federal portion is 50% and the county pays the other 50%,, , though federal match can be up to 90% and in some instances the state covers the non-federal share. * Because these local funds are finite, they now set the real and enforceable ceiling on how much Medi-Cal service the County can sustain in a fiscal year. Example: For a $100 service at a 50% federal match rate, thethe county contributes $50 in local match (realignment/MHSA) to receive the $50 federal match (+$50). This means the Department must now carefully model and monitor the total amount of local match dollars available each fiscal year to avoid authorizing more services than can be supported. How LCBHS Managed Through Disruption Despite the unprecedented disruption, LCBHS: * Maintained payroll growth and kept contractors whole * Avoided service disruptions for clients, unlike several peer counties that were forced to suspend or reduce provider payments * Made a strong recovery in early 2024, when Medi-Cal revenue returned to normal levels * Increased total billable services provided by 66% since FY 23-24. Consultative Support and Corrective Steps Recognizing the statewide complexity of payment reform, DHCS engaged the Boston Consulting Group (BCG), nationally recognized experts in health care financing and delivery reform, to support counties in navigating CalAIM's new fiscal mechanics and to assess system-level impacts of payment reform. Lake was one of six counties offered the opportunity to receive this free technical assistance and consultation. LCBHS has been working with BCG since July 28, 2025, with the first in-person meeting held on July 30, 2025. The majority of these meetings have been in person, allowing for detailed, hands-on analysis and solution-building. With BCG's guidance, LCBHS is: * Refining fiscal modeling that sets annual service ceilings based on available local match * Aligning contracts and fiscal procedures with State guidance * Strengthening cash flow monitoring, including monthly internal reviews and quarterly Board updates * Implementing a performance improvement plan to reinforce fiscal leadership accountability. Current Status The Department has stabilized billing and cash flow and, with BCG's expert support, is embedding durable fiscal safeguards to ensure these challenges do not recur. Current projections show stability moving forward, though a $2 million balance remains outstanding from the original General Fund loan. LCBHS is currently operating near break-even each month. Because Medi-Cal revenue now requires a cash match (and reserves were depleted in 2023) any surplus must be reinvested to unlock the following month's revenue. Without sufficient match, revenue remains inaccessible, creating a cascade where even a "break-even" month can trigger a negative spiral. To address this, the Department is considering implementing FY25/26 changes including revised provider terms, updated contracts, and enhanced liquidity monitoring. While the Department is confident in the positive impacts of these initial changes, we plan to bring a complete evaluation of business, financial, and service portfolio strategy to the Board in ten weeks time. While LCBHS is committed to paying back the $2M General Fund loan as soon as is viable, doing so now would result in an inability to close out FY24/25. Additionally, paying back the loan in its entirety prior to sufficiently bolstering cash reserves would eliminate the ability to draw down revenue and achieve sustained financial independence. The Department requests an opportunity to provide more information on its go-forward plan to the Board in ten weeks' time. Alignment with Vision 2028 and County Goals Approval of this loan repayment extension directly supports multiple pillars of the County's Vision 2028: * Well-being of Residents - Ensures uninterrupted access to behavioral health services for Lake County residents, particularly vulnerable populations who rely on Medi-Cal funded care. * Public Safety - Stabilizes critical services that reduce jail overcrowding, emergency room boarding, and law enforcement involvement with individuals experiencing behavioral health crises. * Economic Development - Protects jobs within the County's contractor network and preserves local service provider capacity, preventing downstream costs associated with workforce loss and client displacement. * Infrastructure - Supports the long-term viability of the Department's electronic health record (EHR) and billing systems, ensuring reliable reimbursement flows under State reforms. * County Workforce - Maintains payroll stability and avoids workforce disruption in the face of delayed reimbursements. * Community Collaboration - Demonstrates the County's commitment to honoring its contracts and sustaining partnerships with local nonprofits, hospitals, schools, and Tribal entities. Potential Consequences of Non-Approval Failure to approve this loan extension would have immediate and significant consequences, including: * Service Disruption - Without temporary loan support, LCBHS may be forced to delay or suspend contracted services, creating direct gaps in mental health and substance use treatment. * Public Safety Risks - Reduced behavioral health capacity would increase strain on law enforcement, the jail, and local emergency departments, driving higher systemwide costs. * Contractor Instability - Providers that serve Lake County residents could face payment delays, layoffs, or withdrawal from County contracts, shrinking the service network. * Fiscal Misalignment - A refusal to extend would undermine the County's ability to align with DHCS's ongoing Behavioral Health Payment Reform and CalAIM requirements, potentially jeopardizing future funding rates. * Loss of Momentum - Without the extension, LCBHS would lose ground in stabilizing its fiscal base and implementing system improvements that are critical to long-term sustainability.

Approve and adopt Amendment No. 2 to Resolution No. 2025-74 extending the repayment period for a short-term loan in the amount of $2,000,000 from the general fund to lake county behavioral health services.

HHAP Round 6, like Round 5, has the requirement of "A Memorandum of Understanding (MOU) signed by each eligible applicant that is participating in the Regionally Coordinated Homelessness Action Plan." The LCCoC has reviewed the MOU. which is near identical to Round 5's MOU, at the August 7, 2025 Executive Committee meeting and approved it to form. The Lake County Continuum of Care (LCCoC) will present the annual Point in Time Count of sheltered and unsheltered people experiencing homelessness in Lake County on night of January 22nd-23rd , 2025. HUD requires that CoCs conduct an annual count of people experiencing homelessness who are sheltered in emergency shelter, transitional housing, and Safe Havens on a single night in January. The Homeless Housing, Assistance and Prevention (HHAP) Grant Program addresses homelessness in California has been granted to both counties and continuums of care since 2020 by the California Interagency Council on Homelessness (Cal ICH) and now the Department of Housing and Community Development and is currently on its 6th Round. The County of Lake (via Lake County Behavioral Health Services) and LCCoC have both been recipients of this funding which in turn the majority of they've issued Request for Proposals, often jointly, to address homelessness in the community. The majority of the funding has gone to fund emergency shelters. One of the requirements of these latter rounds has been a Regional Coordinated Homeless Action Plan, which can be found on the LCCoC website's main page. A Regionally Coordinated Homelessness Action Plan fully complies with HSC section 50233(c). This plan lays out a strategic approach to address homelessness within the "region" - aka the county for us - emphasizing collaborative efforts among the County and the CoC.

Approve Memorandum of Understanding Between the County of Lake and the Lake County Continuum of Care to alleviate and prevent homelessness in Lake County and Authorize the Chair to sign Approve budget of HHAP-6 Application to the California Department of Housing and Community Services

(include fiscal and staffing impact narrative): The following Advisory Board and Commission has vacancies and an application for consideration has been received. Big Valley Advisory Council (BVAC) Two (2) Vacancies: Two (2) Public Members Sydney Gilberson, Re-appointment to Public Member from Alternate

Appoint qualified applicant to the specified advisory board.

On December 3, 2024, the Lake County Board of Supervisors approved a Commercial Lease Agreement for 4,716 square feet of office space at 55 1st St, Lakeport, used by the Public Defender's office. The original Lease (attached) provided for space split between the 2nd and 3rd floors of the building, and additionally provided for a Right of First Refusal, should additional space become available on the 2nd Floor; from the outset, the Public Defender's Office's hope was to ultimately occupy the entirety of the 2nd floor. Administrative Office staff have been notified the balance of the 2nd floor space is now available (as of September 1, 2025). The Public Defender is seeking approval to occupy the remaining 2nd Floor space in its entirety and vacating the use of the 3rd Floor space On September 9, 2025, at the Board of Supervisors meeting, the Public Defender presented a proposal that would enable such a transition. No action was taken surrounding that proposal (no member of the Board made a Motion), but concern was expressed by Supervisors surrounding associated costs, including discussed modifications to the space (not included in the Lease), which could have cost $10,000. The details of the September 9, 2025, item are accessible here: https://countyoflake.legistar.com/LegislationDetail.aspx?ID=7648730&GUID=DAD49263-F3B8-4B21-B77F-EBAA822B02AE On September 10, 2025, the Public Defender re-negotiated the terms with the property manager of Lakeport Plaza. The re-negotiation resulted in the following proposed agreement: 1. No increase in ongoing monthly rent (rentable space on the 2nd floor will be 4,716 square feet, consistent with total square footage previously rented on the 2nd and 3rd floors, with monthly Base Rent remaining at $9,903.60, and the Flat Fee remaining at $4,716.00). 2. No building modifications. 3. A 1-month transition period with monthly Base Rent of $12,652.50, and Flat Fee of $6,025.00. On September 11, 2025, the Public Defender presented this proposal to the Space Committee. The Committee supported this proposal and had no objections to the terms. Shane French, Director of Information Technology, advised his staff would be able to facilitate the transition process despite the short turnaround. Staff recommends your Board approve Amendment 1 to the Commercial Lease Agreement.

Approve First Amendment to Commercial Lease Agreement Between the County of Lake and Lakeport Plaza, LLC, for Office Space at 55 1st St, Lakeport

North Coast Opportunities, Inc. (NCO), in addition to being the local Resource and Referral (R&R) agency for Lake County, is also the official Alternative Payment Program (APP) provider. As Lake County's APP, NCO manages the vast majority of Child Care programs available to residents, including Stage One. Because NCO is contracted through the California Department of Social Services as the APP, they are a sole source provider for the services covered by this Contract. Under Lake County Ordinance 3137, Section 38.2 (2), Stage One Child Care Services are exempt from the competitive bidding process due to the unique nature of services provided. NCO provides Stage One Child Care services to eligible clients of Social Services and receives a portion of the funding for program operational costs. Stage One begins when a family starts receiving CalWORKs cash aid. CalWORKs clients may be served in Stage One until the county determines that the family situation is stable, or if no funds are available in Stage Two. This program provides low or no cost childcare for eligible CalWORKs participants, alleviating a large burden for many families. Stage One Child Care also provides facility referrals to participants, assisting them in finding quality, available childcare. The funding provided by this Contract covers the administration costs of running the Stage One program, and actual Child Care costs are around $770,000 yearly, paid by DSS. This Contract begins on May 1, 2025, as there are outstanding invoices which still need to be paid, and due to an increase in childcare services provided, the previous Contract's compensation was insufficient.

a) Waive the Formal Bidding Process Pursuant to County Ordinance 3137 Section 28.2 due to 38.2 (2) Not in the Public Interest; and, b) Approve Contract between County of Lake and North Coast Opportunities, Inc. for Stage One Child Care Services, in the amount of $1,100,000.00 per fiscal year from May 1, 2025 to June 30, 2026, and authorize the Chair to sign.