Title
a. Authorize the Chief Executive Officer (CEO) for Natividad Medical Center (NMC) or his designee to execute the Fifth Amendment to the Professional and Call Coverage Services Agreement (A-14453) with Advanced Gastroenterology of Monterey County to provide gastroenterology services extending the term by fourteen months (August 1, 2024 to September 30, 2025) for a revised full agreement term of August 1, 2019 to September 30, 2025, and adding $750,000 for a revised total not to exceed amount of $4,000,000 in the aggregate; and
b. Authorize the CEP for NMC or his designee to sign up to three (3) future amendments to this Agreement where the total amendments do not significantly change the scope of work, do not cause an increase of more than 10% ($65,000) of the original contract amount and do not increase the total contract amount above $4,065,000.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Authorize the Chief Executive Officer (CEO) for Natividad Medical Center (NMC) or his designee to execute the Fifth Amendment to the Professional and Call Coverage Services Agreement (A-14453) with Advanced Gastroenterology of Monterey County to provide gastroenterology services extending the term by fourteen months (August 1, 2024 to September 30, 2025) for a revised full agreement term of August 1, 2019 to September 30, 2025, and adding $750,000 for a revised total not to exceed amount of $4,000,000 in the aggregate; and
b. Authorize the CEP for NMC or his designee to sign up to three (3) future amendments to this Agreement where the total amendments do not significantly change the scope of work, do not cause an increase of more than 10% ($65,000) of the original contract amount and do not increase the total contract amount above $4,065,000.
SUMMARY/DISCUSSION:
NMC must arrange for care and treatment of hospitalized patients as well as patients who present to the emergency department and hospital clinics in need of medical care in the specialty of gastroenterology, disorders and diseases that affect the digestive system. NMC has an agreement with Advanced Gastroenterology of Monterey County, for which Mumtaz Tabbaa M.D., a board-certified gastroenterologist, provides gastroenterology call coverage in the emergency department, endoscopy procedures and outpatient services in the specialty clinic. NMC wishes to amend the agreement so that Dr. Tabbaa can continue to provide the services without interruption. Advanced Gastroenterology of Monterey County is paid a rate for services according to the terms of this agreement. Although the amount of services may increase or decrease due to patient volumes and the need for coverage, the rate of pay remains the same. NMC 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 is scheduled to be reviewed by Natividad Medical Center’s Finance Committee and Board of Trustees on July 19, 2024, after the Board of Supervisors’ consideration of this Amendment at its July 9, 2024 meeting. Seeking Board of Supervisors approval first was necessary in order to prevent a gap in services.
FINANCING:
The cost of this Amendment is $750,000. The total cost of this Agreement is $4,000,000 for the period August 1, 2019 to September 30, 2025. $650,000 is included in the Fiscal Year 2024/2025 adopted budget, the remaining balance will be budgeted in the subsequent fiscal year. Funding will be provided from NMC’s Enterprise Fund 451-9600-6608.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
The services rendered in this agreement provide NMC 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.
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Prepared by: Jeanne-Ann Balza, Director of Physician Services, 783.2506
Approved by: Charles R. Harris, Chief Executive Officer, 783.2551
Attachments:
Fifth Amendment
Fourth Amendment
Third Amendment
Second Amendment
First Amendment
Agreement
Attachments on File at the Clerk of the Board