Title
a. Authorize the Chief Executive Officer (CEO) for Natividad Medical Center (NMC) or his designee to execute the Third Amendment to the Professional Services Agreement with Lucile Salter Packard Children’s Hospital at Stanford (LPCH) to provide retinopathy of prematurity (ROP) screenings services, extending the term by twenty-five months (September 1, 2024 to September 30, 2026) for a revised full agreement term of September 1, 2018 to September 30, 2026 and adding $100,000 for a revised not to exceed amount of $370,000 in the aggregate; and
b. Authorize the CEO 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% ($9,000) of the original contract amount and do not increase the total contract amount above $379,000.
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 Third Amendment to the Professional Services Agreement with Lucile Salter Packard Children’s Hospital at Stanford (LPCH) to provide retinopathy of prematurity (ROP) screenings services, extending the term by twenty-five months (September 1, 2024 to September 30, 2026) for a revised full agreement term of September 1, 2018 to September 30, 2026 and adding $100,000 for a revised not to exceed amount of $370,000 in the aggregate; and
b. Authorize the CEO 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% ($9,000) of the original contract amount and do not increase the total contract amount above $379,000.
SUMMARY/DISCUSSION:
NMC operates a Level III Neonatal Intensive Care Unit (NICU) that provides stabilization of the initially ill newborn and intermediate intensive care as well as continuing care for growing newborns. Retinopathy of prematurity (ROP) is a potentially blinding disease caused by abnormal development of retinal blood vessels in premature infants. NMC has an agreement with LPCH to provide specialized physicians for the initial evaluation of high-risk premature infants in the NICU in accordance with the American Academy of Ophthalmology.
NMC wishes to amend the agreement to extend the term so that LPCH can continue to provide this critical service for its patients. NMC has obtained an independent opinion of fair market value supporting the payment terms.
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 $100,000. The total cost of this Agreement is $370,000 for the period September 1, 2018 to September 30, 2026. $50,000 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 are required for a Level III NICU and provide Natividad with the additional support it needs 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: Dr. Charles R. Harris, Chief Executive Officer, 783.2551
Attachments:
Third Amendment
Second Amendment
First Amendment
Agreement
Attachments on File at the Clerk of the Board