NPP’s primary source of funding is Drug Medi-Cal. Contracts and DMC funding is processed through the State Department of Alcohol and Drug Progems. Annual contracts are renewed on a fiscal year basis. As of this report NPP is funded through June 30^th 2006. Contract renewal for 2006 –2007 is in process at this time. Funding amount is determined based on utilization. A secondary source of funding is through the County of Los Angeles Department of Mental Health. The third source of funding is from private paying patients on methadone and 21 Day Detoxification. Using a sliding fee scale, gross income is matched against number of dependence and living expenses and a net amount is assessed. The minimum amount that can be assessed for the methadone maintenance is $210.00 per month. The 21 Day Detoxification requires a flat fee of $240.

All insurances are current. All employees are bonded and Officers and Directors are included in the coverage. Our facility lease was renewed this year for an additional five years. The terms and conditions remain as in the previous lease. The monthly rate will remain the same with a 3% annual CPI that is within fair market value. The annual monthly rate will be increased accordingly. At the request of staff and board a conference room was constructed. The facility remains in good repair.

The expansion of services is being considered as follows;

· The hiring of a part time psychologist to assist with the assessment and counseling of patients with dual disorders. This would increase the use of our mental health contract and generate revenue for the program.

· Anger Management and Parenting certification for counselors. This certification would qualify NPP and would become a service modality the program can offer the courts, probation and parole. Funding for these services are available provided the certification requirements are met.