Commission approves $1.39M in Alliance Healthcare contracts; commissioners press for data on outcomes and unit cost

Shelby County commissioners on Aug. 25 approved two separate contracts with Alliance Healthcare Services: $850,000 for detoxification, substance‑abuse and mental‑health services and $540,000 for post‑booking jail diversion services for people with severe and persistent mental illness.

Commissioners asked how many people the money would serve and how funds were being used. Commissioner Thornton asked, “So, with the 540,000, it gives the capacity to serve about 80 people?” Daniel Malone of the Division of Community Services answered that the contract funds primarily support Alliance staff positions and that last year the program served 38–39 clients; based on early referral increase the program could approach the 80‑person capacity in FY26. Malone also provided an estimated per‑client figure for the Jericho Project: “Their estimated cost for 1 client for Jericho is, $12,000 200 and $12,273.” The commission directed staff to return with longitudinal data on referrals, staffing and unit costs.

Several commissioners pressed for follow‑up: Commissioner Brooks said he could not support the item without clearer outcome evidence and unit‑price transparency; Commissioner Sugarman urged the agency to reach full capacity and noted future federal funding uncertainty. Both items passed on recorded voice votes with one commissioner recused on related items.

The approvals authorize the contracts and appropriate FY2026 funds as requested; commissioners asked that the departments provide three years of outcome and staffing data at a later date so the board can evaluate performance and whether staffing levels match utilization.