Fremont City Council Meeting: 06/09/26 07:00 PM
3300 Capitol Avenue Div/Dept: Human Services Department Fremont, CA 94538 Category: Agreements and Contracts
SCHEDULED
Sponsors:
COUNCIL STAFF REPORT (ID # 5739) DOC ID: 5739
Updated: 6/5/2026 11:18 AM by Alberto Quintanilla Page 1 Alameda County Housing Community Supports - Authorize the City Manager to Execute a Fourth Amendment with Alameda County for City to Provide Housing Transition Navigation and Housing Tenancy and Sustaining Services Contact Persons:
Name: Alina Kwak Arquimides Caldera
Title: Family Resource Center
Administrator
Human Services Director
Div/Dept: Human Services Department
Phone: 510-574-2004 510-574-2056
E-Mail: [email protected] [email protected]
Executive Summary: Medi-Cal, California’s Medicaid health care program for children and adults, is currently undergoing a transformative system change to enable it to work more seamlessly with other social services. This system transformation is known as California Advancing and Innovating Medi-Cal (CalAIM).
As part of CalAIM, Alameda County, through its Health Department (ACH), has currently contracted with the City to provide homeless individuals and families with Housing Community Supports, including Housing Transition Navigation Services, Tenancy Sustaining Services and one-time rental deposits through June 30, 2026.
To allow the City to continue providing these services in FY 2026/27, City staff recommends that the City Council authorize the City Manager, or designee, to execute a Fourth Amendment with Alameda County in an amount not to exceed $912,685.
Background: Medi-Cal is California’s Medicaid health care program, which pays for services for children and adults with limited income and resources.
Currently, the Medi-Cal program is undergoing a transformative system change to CalAIM, with the goal of:
• Improving population health using a whole person care model and social determinants of health;
• Reducing complexity and variation, and increasing flexibility of services across Medi-Cal; and
Council Staff Report (ID # 5739) Meeting of June 9, 2026 Updated: 6/5/2026 11:18 AM by Alberto Quintanilla Page 2 • Improving quality outcomes, reducing health disparities, and modernizing systems through value-based initiatives and payment reform.
As part of CalAIM, Alameda County Health (ACH), through its Office of Housing and Homeless Services, has spearheaded the County’s effort to expand the Housing Community Supports project for homeless populations.
This project is funded through a combination of CalAIM funding from Alameda Alliance for Health, Kaiser Permanente, as well as additional County general funds.
The City’s Human Services Department has contracted with Alameda County (County) to provide Medi-Cal funded services to South County residents for many years, including mental health services, substance use disorder services and targeted Case Management services. Serving low-income clients will necessitate the City’s continued involvement in the CalAIM system.
The County currently contracts with providers, including the City, for Housing Community Supports (HCS), including Housing Transition Navigation Services, Tenancy and Sustaining Services, and one-time flexible Housing Deposits. These activities align with the City’s Homeless Response Plan, with the goal of decreasing overall homelessness in the community.
This contract will add critical capacity to addressing homelessness in Southern Alameda County.
The City and County initially entered into an Agreement for the City to provide HCS-related services on January 1, 2023, and the parties have since amended the Agreement each year to increase the not to exceed amount and extend the term of the Agreement. To allow the City to continue providing HCS-related services for FY 2026/27, the County wishes to enter into a Fourth Amendment to extend the term of the Agreement through June 30, 2027, in an amount not to exceed $912,685.
Discussion/Analysis:
Under the Fourth Amendment, the City will designates up to 65 client “slots” to:
Council Staff Report (ID # 5739) Meeting of June 9, 2026 Updated: 6/5/2026 11:18 AM by Alberto Quintanilla Page 3 • Maintain combined strength-based housing transition navigation services and/or housing tenancy and sustaining services for homeless and formerly homeless individuals living in or transitioning to County designated permanent housing units, and;
• Administer one-time flexible housing deposits for consumers authorized by County to assist with costs associated with move- in expenses.
From July 1, 2026, through September 30, 2026, the County will continue the current reimbursement rate of $620 per consumer served per month but will transition beginning October 1, 2026, to a per encounter per consumer per month reimbursement rate of $207.
Term: July 1, 2026 – September 30, 2026 Term: October 1, 2026 – June 30, 2027 Per consumer structure:
• Housing Transition Navigation Services:
$620 per consumer served per
month
• Housing Tenancy and Sustaining
Services:
$620 per consumer served per
month
Per encounter structure:
• Housing Transition Navigation Services:
$207 per encounter (maximum of 3
billable encounters per consumer per
month shall be reimbursed)
• Housing Tenancy and Sustaining
Services:
$207 per encounter (maximum of 3
billable encounters per consumer per
month shall be reimbursed)
ACH has designated up to 65 client “slots” for the City with a one-time housing deposit of up to $5,000 per client with the pre-enrollment outreach fee remaining the same at $10 to $30 per encounter, depending on the length of the encounter Based on these assumptions, staff estimates an amount of $133,200 for the time periods as shown below:
July 1, 2026-September 30, 2026
Per Consumer Reimbursement Rate Structure
Rate Slots Encounters Months
Total
Amount
Services as
Needed $620 60 3
$111,600
Pre-enrollment
Outreach $20 15 3 3 $2,700
Council Staff Report (ID # 5739) Meeting of June 9, 2026 Updated: 6/5/2026 11:18 AM by Alberto Quintanilla Page 4 Move in Assistance
Fund $5,000 15 N/A $75,000
Total: $189,300
October 1, 2026-June 30, 2027
Per Encounter Reimbursement Rate Structure
Rate Slots Encounters Months
Total
Amount
Services as
Needed $207 65 3 9
$363,285
Pre-enrollment
Outreach $20 65 3 9 $35,100
Move In Assistance
Fund $5,000 65 N/A $325,000
Total: $723,385
Overall Total July 1-June 30, 2027: $912,685
Fiscal Impact: There is no impact on the General Fund. To meet the required ratio of clients to care manager, reimbursements from the Fourth Amendment will support 2.8 full-time equivalent (FTE) Case Managers. The Fourth Amendment will also cover the cost of housing deposits, as well as internal service costs.
In anticipation of continuing to provide HCS-related services, staff included sufficient appropriations in the ACH Housing Community Supports account in the Miscellaneous Operating Grants Fund (Fund 190) as part of the FY 2026/27 Proposed Operating Budget.
Environmental Review: The proposed actions is not subject to review under the California Environmental Quality Act (CEQA) because it is not a “project” under CEQA Guidelines Sections 15378(b)(2) (continuing administrative activities), (b)(4) (governmental fiscal activities), and/or (b)(5) (administrative activities), and/or under Section 15601(b)(3), because it can be seen with certainty that there is no possibility that the actions will have a significant effect on the environment. Each of the foregoing provides a separate and independent basis for CEQA exemption.
Council Staff Report (ID # 5739) Meeting of June 9, 2026 Updated: 6/5/2026 11:18 AM by Alberto Quintanilla Page 5 Recommendation: Authorize the City Manager, or designee, to execute a Fourth Amendment to its Agreement with Alameda County for the City to provide Housing Transition Navigation and Housing Tenancy and Sustaining Services through June 30, 2027, in an amount not to exceed $912,685.