12 Colo. Code Regs. § 2509-7.607

Current through Register Vol. 47, No. 11, June 10, 2024

Section 12 CCR 2509-7.607 - COUNTY RESPONSIBILITIES FOR PURCHASE OF SERVICE, CONTRACTING AND ADMINISTRATIVE SERVICE

7.607.1DEFINITIONS [Eff. 1/1/15]

A. "Administrative services" are personal services delivered by an individual or organization in lieu of the services being delivered directly by county department employees within the Merit System or county personnel system.

B. "Program services" are direct program costs.

1. Non-contractual program case services are a type of program service obtained by purchase for a specific client or client groups without the use of a contract. These involve a direct payment to a client or one-time or irregular vendor payment for services provided to a specific client where a contract would be difficult or impossible to obtain.

2. Contractual program services are obtained by purchase for a specific client or client groups and a contract is required.

7.607.2CONTRACTING REQUIREMENTS [Eff. 1/1/15]

A. The county department shall enter into a contract before the initiation of administrative or program services, except for non-contractual program case services identified in this section.

B. The county department shall initiate a written corrective action plan or terminate the contract when it determines that services do not comply with the terms of the contract.

C. The county department has direct responsibility for, and shall not purchase activities of:

1. Service eligibility determination or redetermination;

2. Development of the Services Agreement or Family Services Plan;

3. Authorization of purchased services;

4. Service fee determination; and,

5. Monitoring of purchased services.

D. County department employees shall not act as a provider of purchased program services.

E. The county shall purchase services only when the rates of payment for services do not exceed the amounts reasonable and necessary to assure the quality of service. Reasonable means the cost does not exceed the community prevailing rate. Necessary means the service is directly related to the client's need.

F. When contractors are required by statute to be licensed, registered, or certified in order to perform the purchased service, county departments of social services shall assure that such requirements are met, before the execution of the contract. In addition to or in the absence of such statutory requirements, the contractor shall meet standards or criteria as established by the State Department. All personnel engaged in the administration or direct delivery of services purchased by the county department shall meet qualifications as provided under Merit System rules and regulations or an approved county personnel system.

G. The county department shall purchase services only from contractors independent of the county. State reimbursement shall be available only for purchase of service contracts where the relationship between the county department of social services and the contractor is a relationship of employer-independent contractor, not that of employer-employee.

H. In cases where the contractor status is not clear, status resolution shall be in favor of the employee status classification.

I. For program or administrative contracts in the amount $10,000 or less, the county department may use its own selection criteria for awarding purchase of service contracts.

J. The county department shall establish a separate file for each contract in excess of $10,000 and include the following documentation:

1. Supporting the basis for award cost or price; and,

2. Identifying the procurement method used (formal advertising or negotiation).

a. If formal advertising was used, the county shall include descriptive material used to solicit bids and copies of published bid solicitation notices.

b. If negotiation was used, include justification for using this procurement method. Justification shall include one or more of the five acceptable reasons for negotiation listed below.

K. The county department shall use the most formal procurement method that is possible and practical.

1. Formal advertising is the procurement method that involves open and free competition (i.e., public notice of bid solicitations, a clear and adequate description of the technical requirements for the service to be procured, sealed bids, and the public opening of bids).

2. Procurements may be negotiated if it is not practicable or feasible to use formal advertising. Generally, such procurements may be negotiated if one or more of the following conditions prevail:

a. The public exigency will not permit the delay incident to advertising.

b. The material or service to be procured is available from only one person or firm.

c. The contract is for personal or professional services, or for any service to be rendered by a university, college, or other educational institution. (Personal services here refer to a contract with an individual for the services of that individual. Professional services refer to services rendered by a person or organization licensed or certified by the state.)

d. No acceptable bids have been received after formal advertising.

e. Formal advertising is otherwise not practicable or feasible, and negotiation is authorized by applicable law, rules, or regulations.

L. Excluded from requirements of this section, "Purchase of Services," are services purchased under the Employment First Program.

M. Any county department and child placement agency entering into a contract for the provision of foster care services shall include a provision in the contract that recognizes a right of the State Department or county department to recover any funds misused by the Child Placement Agency and to withhold subsequent payments. The provision in the contract shall provide for an appeal of the decision to recover or withhold the funds.

7.607.3PURCHASE OF PROGRAM SERVICES

A. The purchase of program services:

1. May or may not require a contract depending upon the specific service purchased.

2. Does not require State Department prior approval as long as the service is authorized by state rule.

B. Authorized Non-Contractual Program Case Services

1. Transportation for children in out-of-home care, limited to the following purposes:

a. For return of runaways, who are in county department custody, to their Colorado home county.

b. For a child in out-of-home care to receive services specified in the Family Services Plan that are directly related to visitation and reunification.

c. To facilitate a permanent plan through the Interstate Compact.

d. To access one-time physical, dental, and psychological examinations for children in out-of-home care who are not Medicaid eligible and have no other insurance.

2. A one-time physical, dental, and psychological examination for children in out-of-home care who are not Medicaid eligible and have no other insurance.

3 Case services authorized in the Adoption Services and Relative Guardianship Assistance Program sections that are specified in a current signed Adoption or Relative Guardianship Assistance Agreement.

4. Other case services provided to children in out-of-home placement when such services are not a part of either room and board or Medicaid treatment or case management services.

C. Contractual Program Services

1. Services may be obtained by purchase for specific clients using the standardized form contracts, identified by number in the paragraph below. Standardized form contracts comply with federal and state statutes and/or regulations for the purchase of service.

a. Child Welfare Child Care: Use contract form SS-19 as appropriate.

b. Child Foster Care Service: Use state authorized contract forms as appropriate.

c. Psychological Evaluations, when purchased once and not through an agency contract: Use contract form SS-21B. Psychological evaluations shall not be purchased for children or adults who are eligible for Title XIX (Medicaid). Third party payment for psychological evaluations shall be used as first payer where possible.

1) Limited purposes for children:

a) For assessment of the need for protection - includes psychological evaluations for parents or substitute caretakers. Substitute caretakers are persons providing care as an alternative to the parent, i.e., includes guardians or legal custodians and excludes foster parents.

b) For foster care placement.

c) For adoptive home placement.

2) Limited purposes for adults:

For biological parents, on behalf of children in foster care.

d. Physical evaluations, when purchased once and not through an agency contract shall use the state authorized contract form. Physical evaluations shall not be purchased with program service funds for children or adults who are eligible for Title XIX (Medicaid). Third party payment for physical evaluations shall be used as first payer where possible.

Limited purposes for children:

1) Needing assessment of need for protection.

2) In Child Welfare Child Care.

3) In out-of-home care.

e. Evaluation shall include the cost of the examination as well as any written and/or verbal interpretation of the results of the psychological or physical evaluation.

Core Services Program Services: County departments with state approved Core Services plans may use Form FPP-1 or develop and use their own contract for the purchase of Core Services. County developed contracts shall meet the contract content requirements provided in Section 7.607.4, D.

D. Billing and Payment

County department billings for the purchase of program service shall follow state procedures.

7.607.4ADMINISTRATIVE SERVICES [Eff. 1/1/15]

A. The purchase of administrative services requires:

1. A contract; and,

2. State Department approval.

B. The content of all administrative contracts shall comply with the requirements as established by the State Department.

C. The county department shall monitor the provision of services at least every six (6) months under an administrative service contract for compliance with the contract and maintain written documentation of such monitoring including dates of monitoring and results/conclusions.

D. Contract Content

1. If a county department determines that certain administrative services are to be purchased, the county department shall negotiate terms and write a contract for the purchase.

2. When the county department writes an administrative service contract, the contract shall contain:

a. All terms of the contract in one instrument, be dated, and be executed by authorized representatives of all parties to the contract prior to the date of the implementation;

b. A definite beginning and ending date for provision of services up to a maximum of one (1) year duration;

c. A detailed description of the services to be provided and of the methods, including subcontracting, to be used by the contractor in carrying out its obligations under the contract;

d. A stated number of units of service at a specific dollar rate, and/or for a specific dollar amount;

e. The method and source of payment to the contractor;

f. The source of funds and provision that "Payment pursuant to this contract, if in federal and/or state funds, whether in whole or in part, is subject to and contingent upon the continuing availability of federal and/or state funds for the purposes hereof";

g. Provision that no fees shall be imposed by the contractor related to services provided under this contract;

h. Provision that the contractor meets applicable state licensing requirements, and/or federal standards and/or qualifications as provided under Merit System rules and regulations or county personnel system;

i. Provision that contractor strictly adheres to all applicable federal, state, and local laws that have been or may hereafter be established;

j. The address(es) of facilities to be used in providing services;

k. Provision that the contractor shall comply with the requirements of the Civil Rights Act of 1964, the requirements of Section 504 of the Rehabilitation Act of 1973, Americans with Disabilities Act, and for safeguarding information according to rules of the State Department;

l. Provision that any subcontracts permitted by the contract shall be subject to the requirements of the contract as listed here, and that the contractor is responsible for the performance of any subcontractor;

m. A statement specifying requirements for fiscal and program responsibility, billing, records, controls, reports, and monitoring procedures;

n. Provision for access to financial, program, and other records pertaining to services provided under this contract by county, state, and federal officials, and others as authorized in writing by the county;

o. Provisions for contractor to keep financial, program, or other records pertinent to this contract for a period of 5 years from the contract termination date;

p. Provision that the parties of the contract intend that the relationship between them contemplated by the contract is that of employer-independent contractor;

q. Provisions for termination by either party including the manner by which termination will be effected and the basis for settlement. In addition, such contracts shall set forth the conditions under which the contract may be terminated for default as well as conditions where the contract may be terminated because of circumstances beyond the control of the contractor; and,

r. For contracts over $10,000 certain provisions that will allow for administrative, contractual, or legal remedies in instances in which contractors violate or breach contract terms, and provide for such sanctions and penalties as may be appropriate; and for contracts in excess of $100,000, the contract must contain provisions for compliance with the Clean Air Act and the federal Water Pollution Control Act.

E. Additional County Option Contract Components

The county department may add optional provisions to the above required standard contract items.

F. Billings and Payment

1. County department billings for administrative service contractual purchase of services shall follow state procedures.

2. State Department reimbursement for a properly approved county administrative service contract is subject to the availability of funds within the county's allocation.

12 CCR 2509-7.607

38 CR 19, October 10, 2015, effective 11/1/2015

38 CR 23, December 10, 2015, effective 1/1/2016

40 CR 11, June 10, 2017, effective 7/1/2017

40 CR 21, November 10, 2017, effective 12/1/2017

45 CR 07, April 10, 2022, effective 4/30/2022

45 CR 15, August 10, 2022, effective 9/1/2022

46 CR 09, May 10, 2023, effective 6/1/2023

47 CR 09, May 10, 2024, effective 6/1/2024