Title
a. Authorize the Interim Chief Executive Officer for Natividad or his designee to execute the Second Amendment to the Professional Services Agreement (A-14237) with Hospitalist Medicine Physicians of California, Inc., dba Sound Physicians of California III (Sound) to provide hospitalist services, extending the term by twenty-four months (March 1, 2022 to February 29, 2024) for a revised full agreement term of March 1, 2019 to February 29, 2024, and adding $6,044,424 for a revised not to exceed amount of $14,140,032 in the aggregate.
b. Authorize the Interim Chief Executive Officer for Natividad or his designee to sign up to three (3) amendments to this agreement where the total amendments do not exceed 10% ($80,956) of the original contract amount and do not significantly change the scope of work.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Authorize the Interim Chief Executive Officer for Natividad or his designee to execute the Second Amendment to the Professional Services Agreement (A-14237) with Hospitalist Medicine Physicians of California, Inc., dba Sound Physicians of California III (Sound) to provide hospitalist services, extending the term by twenty-four months (March 1, 2022 to February 29, 2024) for a revised full agreement term of March 1, 2019 to February 29, 2024, and adding $6,044,424 for a revised not to exceed amount of $14,140,032 in the aggregate.
b. Authorize the Interim Chief Executive Officer for Natividad or his designee to sign up to three (3) amendments to this agreement where the total amendments do not exceed 10% ($80,956) of the original contract amount and do not significantly change the scope of work.
SUMMARY/DISCUSSION:
Natividad operates medical surgical units and an acute rehabilitation unit that provide direct patient care to hospitalized patients 24 hours a day, 7 days a week. It requires a team of internal medicine and family medicine physicians, known as hospitalists to sufficiently staff these units and provide 24/7 patient care.
Natividad would like to amend its existing agreement with Sound Physicians to provide sufficient staffing of these critical units with at least four physicians during the day and one physician at night who are immediately available to provide patient care. Sound Physicians also provides a Chief Hospitalist physician, a registered nurse and management services for the management and oversight of the hospitalist program to ensure quality patient care.
Natividad has obtained an independent opinion of fair market value supporting the payment terms of this Agreement.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this Amendment as to legal form. Auditor-Controller has reviewed and approved this Amendment as to fiscal provisions. The Amendment has also been reviewed and approved by Natividad’s Finance Committee and Board of Trustees.
FINANCING:
The cost of this Amendment is $6,044,424. The total cost of this Agreement is $14,140,032 for the period March 1, 2019 to February 29, 2024 (60 months). $2,698,536 is included in the Fiscal Year 2021/2022 Adopted Budget. The remaining balance will be budgeted in subsequent fiscal years. There is no impact to the General Fund.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
The services rendered in this agreement provide Natividad with the additional support it needs in order to provide reliable and high quality patient care which improves the health and quality of life for patients and their families.
__ Economic Development
Administration
X Health and Human Services
__ Infrastructure
__ Public Safety
Prepared by: Jeanne-Ann Balza, Director of Physician Services, 783.2506
Approved by: Dr. Charles R. Harris, Interim Chief Executive Officer, 783.2553
Attachments:
Second Amendment
First Amendment
Agreement
Attachments on file at the Clerk of the Board