The proposed Modification No. M018 to Contract No. DCRL-2022-H-0005 with PSI Services III seeks to exercise the third option year for the contract, allowing PSI to continue providing intensive family-based foster care services for children and youth in the District's foster care system. The modification is set for the period from July 6, 2025, through July 5, 2026, with a not-to-exceed amount of $2,808,154.99. This contract aims to support children who are appropriate for family-based settings but are facing placement instability.

The contract modification is consistent with the District's budget and financial plan, as certified by the Child and Family Services Agency (CFSA) Fiscal Officer. The agency has confirmed that sufficient funds are available for the fiscal year 2025 to cover the costs associated with this contract, while funding for the subsequent fiscal year will depend on the approval of the District's budget. The modification does not introduce any new legal language or deletions from current law.