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DPH to seek board approval of Baker Places repayment deal and property purchase to cover debt
Summary
San Francisco Department of Public Health told the Health Commission it will bring a resolution authorizing a 23-year repayment agreement and the purchase of a Baker-owned property to offset the nonprofit's accumulated debt, aiming to preserve residential behavioral health beds while requiring PRC to guarantee payments.
The San Francisco Department of Public Health (DPH) told the Health Commission on March 19 that it will ask the Board of Supervisors to approve a repayment agreement and a purchase-and-sale to address accumulated debt at Baker Places, a behavioral health provider.
DPH controller Drew Morrell summarized a years-long financial review of Baker and its parent organization PRC. The department said its chief goals are to preserve services and residential treatment beds for vulnerable clients while ensuring public funds are spent responsibly. DPH said interventions during 2022 — including converting some contracts from fee-for-service to cost-reimbursement, temporarily increasing allowable indirect rates, and pausing recovery of initial payments — helped preserve operations…
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