Title
Authorize the Purchasing Manager for Natividad Medical Center (NMC) to execute Amendment No. 1 to the Agreement (A-11999/MYA133) with Sierra Surgical Services for Lithotripsy service to patient needing lithotripsy to kidney stones Services at NMC, extending the Agreement from July 1, 2011 through June 30, 2016 for a total Agreement amount not to exceed $495,000; no increase from the previously approved amount.
Report
RECOMMENDATION:
It is recommended the Board of Supervisors authorize the Purchasing Manager for Natividad Medical Center (NMC) to execute Amendment No. 1 to the Agreement (A-11999/MYA133) with Sierra Surgical Services for Lithotripsy service to patient needing lithotripsy to kidney stones Services at NMC, extending the Agreement from July 1, 2011 through June 30, 2016 for a total Agreement amount not to exceed $495,000; no increase from the previously approved amount.
SUMMARY/DISCUSSION:
Sierra Surgical Services formerly known as Bakersfield Lithotripsy provides mobile lithotripsy services for hospital operation room urologic procedures. Lithotripsy services include treatment using ultrasound shockwaves to breakup kidney stones or other small stone blockages These services allow NMC to maintain the current revenue stream for the services without the capital expenditure of a permanent lithotripsy on site unit at NMC for lower volume procedures and allows the citizens of Monterey County to receive services locally. Approximately 20 patients were served in calendar year 2013 with gross revenues exceeding $250,000 and 16 patients have already been treated YTD in Fiscal Year 2014. Per Dr. Daniel Millinesa's (NMC's primary Urologist) recommendation, NMC wishes to continue with Sierra Surgical Services due to their ability to provide services meeting higher patient satisfaction outcomes and provide optimal clinical results.
OTHER AGENCY INVOLVEMENT:
County Counsel has reviewed and approved this Amendment No. 1 as to legal form and risk provisions. Auditor-Controller has reviewed and approved this Amendment No. 1 as to fiscal provisions. The CAO-Budget and Analysis Division has advised to inform the BOS the spending authority (appropriations) associated with NMC's FY 2014 Adopted Budget has been exceeded and approval and authorization for modification of NMC's appropriation budget should be presented to the BOS. Since NMC is an Enterprise Fund, this does not prevent continued expenditures, but it is considered good public policy, transparency and fiscal management The Amendment has also been reviewed and approved by Natividad Medical Center's Finance Committee 5.22.14 and Board of Trustees 6.6.2014.
FINANCING:
There is no cost for this Amendment No.1 As a result of Agreement No. (A-11999/MYA133) $495,000 is included in the Fiscal Year 2013/2014 in the maximum liability for the Agreement (for a total Agreement amount not to exceed $495,000 in the aggregate). $495,000 is included in the Fiscal Year 2014/2015 Recommended Budget. NMC is confirming its appropriations position and if its spending authority has been exceeded will return to the Board. There is no impact to the General Fund.
Prepared by: Sue Rodgers, Interim Surgical Services Director, 772-7789
Approved by: Harry Weis, Chief Executive Officer, 783-2553
Attachments: Amendment No. 1, Original Agreement, Spend Sheet
Attachments on file with the Clerk to the Board's Office