RFP for Nursing Home Placement Beds

The Colorado Department of Human Services, Office of Community First Mental Health is soliciting proposals to establish and operate 12 enhanced protective placement beds in skilled nursing facilities serving adults with complex neuro-behavioral presentations, with proposals due September 10, 2026 at 10:00 a.m. (RFP 2027000018). The facility must be fully operational and accepting admissions by October 15, 2026, and all prospective bidders must maintain current state licensure as a nursing home qualified for Medicaid Supplemental Behavioral Services — the primary eligibility filter.

The scope requires dual-configuration care pathways: secure memory care for individuals with severe cognitive decline, advanced dementia, or brain injuries, and unsecure environments emphasizing community re-entry and independence. The facility must accept statewide referrals and may be located anywhere within Colorado. The contractor must provide continuous 24/7 clinical staffing and prioritize referrals for individuals with severe mental illness, acquired neurocognitive disorders, traumatic brain injuries, and co-occurring substance use disorders, with emphasis on clinical step-downs from state hospitals and forensic clients.

Compensation is hybrid: a baseline incentive payment of $307.64 per bed per day for all 12 contracted beds (maximum $3,691.34 daily) through June 30, 2027, plus reimbursement at the daily Medicaid rate for uninsured or Medicaid-ineligible clients. Capital and renovation reimbursement is capped at $45,920 on a cost-reimbursement basis through June 30, 2027. A liquidated damages clause requires repayment of 80 percent of all state-funded renovation, start-up, and capital expenses if the contractor terminates early without cause or due to health, safety, or licensing violations within one calendar year of execution.

The initial contract term is one year plus four optional one-year renewals. Proposals must not exceed 30 pages and address program design, organizational experience with high-acuity populations, staffing capacity, and commitment to the mandate. All work will be subject to HIPAA Business Associate Agreement requirements with encryption of PHI transmitted over internet or insecure channels using FIPS-compliant algorithms, annual third-party security assessment, and immediate breach notification. Written questions are due August 25, 2026 by 10:00 a.m. Anticipated contract start is October 2026.