County projects $12–15M operating range to run Drug Medi‑Cal program; staff to ask board for FTEs

Emery Cohen said the county lacks a validated historical cost baseline because administrative reconciliation with the Partnership Health Plan is incomplete, which complicates precise forecasting. Cohen said staff are using historical estimates plus newly published higher rates to produce a preliminary operating budget and that the county anticipates those ongoing costs could be in the range of $12–15 million.

Cohen added that up to 15% of the allocation may be used for administration and that initial administrative startup costs are being estimated near $2 million. He said funding sources will include Drug Medi‑Cal reimbursement, a substance use block grant and required non‑federal match funding from 2011 realignment. The board was told staff will return with more detailed fiscal analyses, contract cost summaries and specific FTE requests as procurement and operational decisions advance.