Title
a. Authorize and direct the Purchasing Manager for Natividad Medical Center (NMC) to execute the Third Amendment to the Professional Services Agreement with Juan Calzetta M.D. to provide vascular surgery services at NMC, extending the term of the agreement to June 30, 2016 and adding $450,000, for an amount not to exceed $1,287,400 in the aggregate (for the period July 1, 2011 to June 30, 2016); and
b. Authorize the Purchasing Manager for NMC to sign up to three (3) amendments to this agreement where the total amendments do not exceed 10% 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 and direct the Purchasing Manager for Natividad Medical Center (NMC) to execute the Third Amendment to the Professional Services Agreement with Juan Calzetta M.D. to provide vascular surgery services at NMC, extending the term of the agreement to June 30, 2016 and adding $450,000, for an amount not to exceed $1,287,400 in the aggregate (for the period July 1, 2011 to June 30, 2016); and
b) Authorize the Purchasing Manager for NMC to sign up to three (3) amendments to this agreement where the total amendments do not exceed 10% of the original contract amount, and do not significantly change the scope of work.
SUMMARY/DISCUSSION:
Juan Calzetta M.D. is a board certified thoracic and vascular surgeon licensed to practice medicine in the state of California. NMC has an Agreement with Dr. Calzetta, effective July 1, 2011 to provide 24 hours a day, 7 days a week emergency department call coverage and a minimum of two vascular surgery clinics per week in the outpatient specialty clinic. The Agreement was amended July 1, 2012 and July 1, 2013 to extend the term. Dr. Calzetta covers 365 days a year of vascular surgery call and makes arrangements for a replacement provider to cover when he is not available. NMC wishes to amend the Agreement before the term to modify the compensation arrangements to increase the rate of pay according to fair market value and to allow Dr. Calzetta to work on a per diem basis where NMC is responsible to provide a replacement provider when Dr. Calzetta is not available.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this Amendment as to legal form and risk provisions. Auditor-Controller has reviewed and approved this Amendment as to fiscal provisions. The Amendment has also been reviewed and approved by Natividad Medical Center's Special Executive Committee on June 26, 2014.
FINANCING:
Dr. Calzetta will be paid a daily rate for coverage services according to the terms of this Agreement. The daily rate is within fair market value for vascular surgery call coverage according to an independent opinion of fair market value NMC obtained supporting the payment terms of this Agreement. The cost of this Amendment $450,000. The total not to exceed amount of this Agreement is $1,287,400 for the period July 1, 2011 to June 30, 2016. $198,000 was disbursed in Fiscal Year 2011/2012; $213,000 was disbursed in Fiscal Year 2012/2013; $213,400 was disbursed in Fiscal Year 2013/2014; and $331,500 is included in the Fiscal Year 2014/2015 Adopted Budget. The remaining $331,500 will be budgeted in subsequent fiscal years. There is no impact to the General Fund.
Prepared by: Jeanne-Ann Balza, Management Analyst, 783.2506
Approved by: Kelly O'Keefe, Interim Chief Executive Officer, 783.2553
Attachments: Agreement; First-Third Amendment
Attachments on file at the Clerk of the Board