Legislation / ID 26-1111
Approve a Third Amendment to the Agreement between the City of Fresno and SimpleTherapy (formerly Halcyon Behavioral) Employee Assistance granting a six-month emergency extension through February 28, 2027 to allow time to process a new Request for Proposals, remaining at the current cost per employee per month of $1.78, with an expected cost not to exceed $50,000 for the six-month period, for a total contract amount not to exceed $500,000 for Employee Assistance Program Services
- Introduced by
- City Council
- Date
- Thu, Aug 27, 2026
Full textv1
REPORT TO THE CITY COUNCIL
FROM: SUMEET MALHI, Director
Personnel Services Department
BY: PHILLIP CARBAJAL, Human Resources Manager
Personnel Services Department
SUBJECT
..Title
Approve a Third Amendment to the Agreement between the City of Fresno and SimpleTherapy (formerly Halcyon Behavioral) Employee Assistance granting a six-month emergency extension through February 28, 2027 to allow time to process a new Request for Proposals, remaining at the current cost per employee per month of $1.78, with an expected cost not to exceed $50,000 for the six-month period, for a total contract amount not to exceed $500,000 for Employee Assistance Program Services
..Body
RECOMMENDATION
It is recommended Council approve a Third Amendment to the Agreement between the City of Fresno and SimpleTherapy (formerly Halcyon Behavioral) Employee Assistance granting a six-month emergency extension through February 28, 2027 to allow time to process a new Request for Proposals, remaining at the current cost per employee per month of $1.78, with an expected cost not to exceed $50,000 for the six-month period, for a total contract amount not to exceed $500,000 for Employee Assistance Program Services; and authorize the Personnel Services Director, or designee, to execute the Third Amendment on behalf of the City of Fresno
EXECUTIVE SUMMARY
In the spring of 2020, Personnel Services staff distributed a Request for Proposals (RFP) to multiple Employee Assistance Program (EAP) firms. In response to the RFP, four vendors submitted proposals. SimpleTherapy (formerly Halcyon Behavioral) was selected as the firm that provided the best value to the City of Fresno and is a locally owned business.
August 27, 2020, the City Council approved the Agreement between the City of Fresno and SimpleTherapy (formerly Halcyon Behavioral) for Employee Assistance effective September 1, 2020 through August 31, 2023.
August 2021, City Council approved a First Amendment for an increase and to extend services through August 31, 2023.
August 2023, City Council approved a Second Amendment to extend services through August 31, 2026, and an increase to $1.69 effective September 1, 2024, and an increase to $1.78 effective at the September 2025 renewal.
The current agreement with SimpleTherapy expires August 31, 2026. Personnel Services staff require additional time to prepare and process a new competitive Request for Proposals (RFP) for Employee Assistance Program Services, which cannot be completed prior to the current contract's expiration. To avoid a lapse in Employee Assistance Program services to City employees and their families, staff request a six-month emergency extension of the current agreement, from September 1, 2026 through February 28, 2027, at the existing rate of $1.78 per employee per month, while the RFP process is conducted.
BACKGROUND
SimpleTherapy provides three counseling sessions, per issue, every six months for each member of the household. The model of service delivery includes a thorough assessment conducted by a licensed behavioral health clinician with every call to implement the appropriate intervention on a 24/7 basis. The SimpleTherapy network is multilingual and provides clinical follow up to gauge satisfaction and to assist, as needed, if referral to the medical plan is necessary. In addition to the usual employee assistance services, Halcyon provides unlimited access to web-based modules and wellness coaching. Finally, SimpleTherapy is a locally owned business with excellent references.
SimpleTherapy was awarded the contract as the City of Fresno's Mental Health Services provider in January of 2021. SimpleTherapy's contract was extended in August 2023 to August 31, 2026. Over the last extended period, a total of 1,954 employees and family members have received assistance through EAP cases, and more than 4,800 EAP services have been utilized. In addition to these individual services, SimpleTherapy has also delivered Critical Incident Counseling sessions at various City of Fresno worksites in response to multiple crises. SimpleTherapy provides a variety of methods to reach our employee population in a broad manner, including text, virtual appointments, and email. Their rich interactive website features videos, webinars, self-help tips, and monthly topics that are formatted to keep our employees informed and involved. SimpleTherapy recently added Mindstream, a wellness�and mental-health phone application designed for emotional fitness. Employees can access both live and on-demand audio/video sessions tailored to their well-being goals.
ENVIRONMENTAL FINDINGS
This authorization to approve a contract execution is not a "project" as defined by the California Environmental Quality Act, pursuant to CEQA Guidelines section 15378.
LOCAL PREFERENCE
Local preference was not implemented because this action is an amendment of an existing agreement.
FISCAL IMPACT
The extended agreement with SimpleTherapy will result in $0 increased expenses per employee in FY27 through FY29. Estimated three-year cost is $281,340.
Attachments:
Third Amendment to SimpleTherapy Agreement
Second Amendment to Halcyon Behavioral Agreement
First Amendment to Halcyon Behavioral Agreement
Halcyon Behavioral Agreement
Sponsors
- Personnel Services Department