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Board approves $330,000 amendment to Davis Guest Home contract amid rising placements

3027952 · April 17, 2025
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Summary

County amended its contract with Davis Guest Home Inc. by $330,000 to cover increased conservatorship placements; board approved the amendment 5-0.

Lake County supervisors on Tuesday approved Amendment No. 1 to the county’s agreement with Davis Guest Home Inc., adding $330,000 to fund adult residential support and specialty mental health services for fiscal year 2024–25.

Director Nicole Jones of Behavioral Health told the board the contract increase responds to higher-than-expected conservatorship placements. The department historically had about four long-term residents at the placement; Jones said two to three additional residents have been placed more recently, prompting the amendment to increase the contract’s not-to-exceed total.

The amendment does not change the contract’s per-diem rate as written; instead the budget increase covers higher utilization and recent annual rate adjustments from the provider. Jones said department staff remain focused on strategies to support returning clients home where clinically and legally appropriate, but placement capacity and care needs have driven temporary cost increases.

Supervisor Owen moved approval; the motion carried on a 5-0 vote. The board authorized the chair to sign the amended contract.

Behavioral Health staff said they will continue working to find community-based alternatives and to monitor placement costs going forward.