Title
a. Consider authorizing the Purchasing Manager for Natividad Medical Center (NMC) to execute the Professional Medical Services Agreement with Monterey Anesthesia Professionals (MAP) to provide anesthesia services at NMC for the period January 1, 2014 to December 31, 2016 for a total amount not to exceed $10,192,705 in the aggregate in accordance with RFP #10431; 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 the Purchasing Manager for Natividad Medical Center (NMC) to execute the Professional Medical Services Agreement with Monterey Anesthesia Professionals (MAP) to provide anesthesia services at NMC for the period January 1, 2014 to December 31, 2016 for a total amount not to exceed $10,192,705 in the aggregate in accordance with RFP #10431; 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:
The County of Monterey recently completed a Request for Proposal (RFP) for anesthesia services at NMC and Monterey Anesthesia Professionals was selected as a successful candidate. NMC wishes to enter into a professional services agreement with MAP in accordance with RFP #10431 to provide exclusive anesthesia services at NMC including in-house anesthesia call coverage 365 days per year 24 hours per day; anesthesia services in the operating room and labor and delivery; and medical director services.
The maximum liability of the previous contract for the same scope of services was $13,600,000, of which $9,700,000 was disbursed over the thirty six (36) month term of the contract. The maximum amount payable to MAP under this Agreement, including the maximum coverage and incentive amount is $10,192,705 for the thirty-six (36) month period a cost reduction of $3,407,295 for, at minimum, the same scope of services as a result of the RFP. 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 Agreement as to legal form and risk provisions. Auditor-Controller has reviewed and approved this Amendment/Agreement as to fiscal provisions. The Agreement has also been reviewed and approved by Natividad Medical Center's Board of Trustees.
FINANCING:
The total cost for this Agreement is $10,192,705 for the period January 1, 2014 to December 31, 2016. $1,698,784 is included in the Fiscal Year 2013/14 Adopted Budget (6 months). The remaining $8,493,921 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: Andrea Rosenberg, Assistant Administrator Operations and Support Services for Harry Weis, Chief Executive Officer, 783.2553
Attachments:
Agreement
Agreement on file at the Clerk of the Board