A Sutter County Health and Welfare Committee packet proposes to shift and appropriate $100,500 in realignment-funded behavioral-health money for fiscal year 2026-27, while also increasing contract maximums for three residential-care providers. This proposal, detailed under agenda item MT8021 in the Oct. 6 committee packet, seeks to bolster support for individuals under state conservatorship who require assisted living arrangements.
The staff report recommends increasing Mental Health appropriations by $100,500, with this sum offset by the cancellation of fund balance. Concurrently, Behavioral Health appropriations would be increased by the same amount, funded through a transfer from Mental Health. The report specifies that this adjustment would have no impact on the General Fund and is intended to support residential-care costs within the county's behavioral health programs.
The proposed amendments would significantly raise contract maximums for key residential-care providers. Telecare Garfield’s maximum is proposed to increase to $115,200 for fiscal year 2025-26, further rising to $118,206 for each of fiscal years 2026-27 and 2027-28. For Life Generations, the amendment would raise its 2025-26 maximum to $740,750. The Davis Guest Home amendment proposes to increase its 2025-26 maximum to $311,700. These increases are designed to ensure sufficient capacity and funding for residential care services.
According to the county report, Sutter and Yuba counties are jointly responsible for approximately 94 individuals conserved under the Lanterman-Petris-Short Act who are unable to live independently. Sutter-Yuba Behavioral Health is tasked with arranging and funding appropriate placements for this population. The report projects that this population is expected to grow, driven by new state initiatives such as Senate Bill 43, CARE Court, and an increase in competency-related referrals.
The availability of suitable placement options, particularly within the local area, remains limited, the report states. It highlights a notable reduction of about 60 board-and-care beds between 2018 and 2021. This limited capacity can lead to delays in moving individuals to less restrictive settings, even when their clinical condition improves. The report clarifies the funding structure for these services: facilities generally bill Medi-Cal for eligible physical-health services, while Sutter-Yuba Behavioral Health covers the remaining behavioral-health and residential costs through payments tailored to each client’s specific needs.
The committee packet recommends that the Health and Welfare Committee forward these proposed amendments and the budget adjustment to the Sutter County Board of Supervisors for their formal approval. The materials reviewed for this proposal do not indicate that a committee vote has occurred, nor do they document any subsequent action by the Board of Supervisors. The report also does not specify the precise number of placements that the additional funding would directly support.





