Title
Authorize the Purchasing Manager for Natividad Medical Center ("NMC") to execute Amendment No. 5 to the Agreement (A-17786) with Hooper, Lundy & Bookman, Inc. for Legal Services at NMC, adding $146,000 for the period July 1, 2014, through June 30, 2015, thereby increasing the total maximum liability under the Agreement from $1,625,000 to $1,771,000.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
Authorize the Purchasing Manager for Natividad Medical Center ("NMC") to execute Amendment No. 5 to the Agreement (A-17786) with Hooper, Lundy & Bookman, Inc. for Legal Services at NMC, adding $146,000 for the period July 1, 2014, through June 30, 2015, thereby increasing the total maximum liability under the Agreement from $1,625,000 to $1,771,000.
Hooper, Lundy & Bookman is the largest full service law firm in the country, with offices in San Francisco, Los Angeles, San Diego, and Washington, D.C., dedicated solely to the legal representation of health care providers in Medicare Medicaid payments, health care business transactions, licensing and certification.
Hooper, Lundy & Bookman provides legal services to the County of Monterey, to ensure that the County's agreements comply with state and federal healthcare and Medicare compliance laws. The potential sanctions for noncompliance with these laws are severe and include civil and criminal liability, as well as debarment or exclusion from participation in Medicare. Additionally, the firm provides advice on medical staff issues and agreements with commercial payors.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this Amendment No. 5 as to legal form and risk provisions. Auditor-Controller has reviewed and approved this Amendment No. 5 as to fiscal provisions. The CAO-Budget and Analysis Division has advised to inform the BOS the spending authority (appropriations) associated with NMC's FY 2014 Adopted Budget has been exceeded and approval and authorization for modification of NMC's appropriation budget should be presented to the BOS. Since NMC is an Enterprise Fund, this does not prevent continued expenditures, but it is considered good public policy, transparency and fiscal management. The Amendment No. 5 has also been reviewed and approved by Natividad Medical Center's Finance Committee (May 29, 2014) and Board of Trustees (June 6, 2014).
FINANCING:
The cost for this Amendment No.5 is $146,000 for a revised total Agreement amount not to exceed $1,771,000. $146,000 is included in the Fiscal Year 2014/2015 Recommended Budget. Amounts for remaining years of the Agreement/Amendment will be included in those budgets as appropriate. NMC is confirming its appropriations position and if its spending authority has been exceeded will return to the Board. There is no impact to the General Fund.
Prepared by: Daniel Leon, Chief Financial Officer, 783-2561
Approved by: Harry Weis, Chief Executive Officer, 783-2553
Attachments: Amendment No. 5, Original Agreement, Amendment Nos. 1, 2, 3 and 4, Spend Sheet
Attachments on file with the Clerk to the Board's Office