Title
Authorize the Chief Executive Officer for Natividad Medical Center (NMC) or his designee to execute renewal and amendment No. 2 to the agreement (A-14537) with MD Buyline, Inc. for medical equipment pricing analysis services plus associated consulting services, extending the agreement an additional two (2) year period (January 3, 2022 through January 2, 2024) for a revised full agreement term of January 3, 2018 through January 2, 2024, and adding $48,089 for a revised total agreement amount not to exceed $170,085.
Report
RECOMMENDATION:
It is recommended the Board of Supervisors:
Authorize the Chief Executive Officer for Natividad Medical Center (NMC) or his designee to execute renewal and amendment No. 2 to the agreement (A-14537) with MD Buyline, Inc. for medical equipment pricing analysis services plus associated consulting services, extending the agreement an additional two (2) year period (January 3, 2022 through January 2, 2024) for a revised full agreement term of January 3, 2018 through January 2, 2024, and adding $48,089 for a revised total agreement amount not to exceed $170,085.
SUMMARY/DISCUSSION:
MD Buyline provides Natividad with access to its automated cost analysis services. These cost analysis services compare new equipment quotes against other current costs in the active marketplace in real time. The reports that are auto-generated will include a cost comparative analysis and also provide Natividad with suggestions as to which areas can be more easily negotiated down. Natividad has found these reports to be extremely helpful during the procurement of medical equipment to ensure it receives competitive pricing. As a result, Natividad can make new product decisions with greater efficiency, transparency and supporting documentation. The agreement also includes consulting services on an as-needed basis only specifically related to more detailed or complex equipment purchase agreements, including ongoing equipment maintenance agreements for products both in and out of warranty. Natividad believes utilizing these consulting services would yield the necessary inside-industry data that would provide Natividad more leverage to negotiate the cost down significantly on certain items.
For over 30 years, MD Buyline has provided hospitals with strategic sourcing data and advisory services supporting all types of medical equipment and technologies acquisitions including consumables.
Natividad is requesting that the agreement be extended to allow for services to continue.
OTHER AGENCY INVOLVEMENT:
The Office of County Counsel reviewed and approved this renewal and amendment No. 2 as to form, and the Auditor-Controller reviewed and approved as to payment provisions. The renewal and amendment No. 2 was reviewed and approved by NMC’s Finance Committee and by its Board of Trustees on January 14, 2022.
FINANCING:
The cost for this renewal and amendment No. 2 is $48,089 of which $23,689 is included in the Fiscal Year 2021-22 Adopted Budget. Amounts for remaining years of the agreement will be included in those budgets as appropriate.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
This agreement is for strategic sourcing data, market cost data, and when needed, advisory services. These services result in cost savings opportunities and ultimately more competitive pricing for Natividad when purchasing equipment.
__ Economic Development
X Administration
__ Health and Human Services
__ Infrastructure
__ Public Safety
Prepared by: Kristen Aldrich, Purchasing and Materials Support Director, 831-783-2627
Approved by: Charles R. Harris, Chief Executive Officer, 783-2504
Attachments:
MD Buyline Renewal and Amendment 2
MD Buyline Amendment 1
MD Buyline Membership Agreement
Attachments on file with the Clerk of the Board