Title
Approve and authorize the Auditor-Controller to process payment to Medical Information Technology, Inc. (MEDITECH) on Natividad Medical Center’s (NMC) behalf for regular maintenance services on the various MEDITECH system modules currently implemented at NMC, and also provide funds for one-time costs of small MEDITECH customizations, interfaces and features needed throughout the year, in an amount not to exceed $340,000 for FY17-18.
Report
RECOMMENDATION:
It is recommended the Board of Supervisors:
Approve and authorize the Auditor-Controller to process payment to Medical Information Technology, Inc. (MEDITECH) on Natividad Medical Center’s (NMC) behalf for regular maintenance services on the various MEDITECH system modules currently implemented at NMC, and also provide funds for one-time costs of small MEDITECH customizations, interfaces and features needed throughout the year, in an amount not to exceed $340,000 for FY17-18.
SUMMARY/DISCUSSION:
In July 2004, NMC received approval for its Health Care Information System Software (HCIS- Electronic Medical Record) with Medical Information Technology, Inc. (MEDITECH). Since that time, NMC has implemented its HCIS system and continues to add additional modules and functionality to the MEDITECH system. MEDITECH is the hospital’s primary system for clinical care documentation and financial reporting.
The MEDITECH System consists of many modules and interfaces that all have required ongoing monthly maintenance fees to support the software that are referenced in the original 2004 agreement. As additional modules, features, enhancements and interfaces are added to NMC’s MEDITECH system, corresponding maintenance fees are incurred. Many of the routine, smaller upgrades, features and enhancements are no cost or low cost for purchase and implementation but have monthly maintenance fees and to date have no formal agreement.
NMC has worked with county counsel and MEDITECH in an attempt to amend the original MEDITECH Agreement or create a new agreement to include all ongoing maintenance fees and costs. However, MEDITECH counsel has refused to do either and considers maintenance to be automatically included as part of the purchase of the software modules as stated in the original agreement which is perpetual with a 60 day notice to terminate.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this request, as has the Auditor-Controller. This request has also been reviewed and approved by NMC’s Finance Committee on May 5, 2017, and by its Board of Trustees on May 5, 2017.
FINANCING:
The cost for this request is $340,000 for FY 2017-18, all of which is included in the FY17-18 Recommended Budget. There is no impact to the General Fund.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
__ Economic Development
__ Administration
X Health and Human Services
Ongoing system maintenance is necessary to keep the hospital’s primary record system, MEDITECH, functional and accessible. The system holds all patient records which is a vital part of care and treatment, therefore this request ultimately leads to improved health of patients seeking care at NMC.
X Infrastructure
Ongoing system maintenance is necessary to keep the hospital’s primary record system, MEDITECH, fully operational and supported. This request enhances and strengthens NMC’s Electronic Medical Record functionality and reliability which fosters a sound, secure and sustainable technological infrastructure.
__ Public Safety
Prepared by: Dr. Charles Harris, Physician, 783-2785
Approved by: Gary R. Gray, DO, Chief Executive Officer, 783-2504
Attachments:
Board Report Attachment A: MEDITECH Annual Maintenance Payment Schedule for FY17-18
Original Agreement with Medical Information Technology, Inc.
Attachments on file with the Clerk of the Board