Title
a. Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) or his designee to execute the Second Amendment to the Professional and Call Coverage Services Agreement (A-13055) with Muralidhara R. Raju, M.D. to provide neurosurgery services, adding $300,000 for a revised amount not to exceed $800,000 in the aggregate, but with no change to the contract term of March 1, 2016 to December 31, 2020; and
b. Authorize the Deputy Purchasing Agent for NMC to sign up to three (3) future amendments to this agreement where the total amendments do not significantly change the scope of work and do not cause an increase of more than ten percent 10% ($30,000) of the original contract amount.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
a. Authorize the Deputy Purchasing Agent for Natividad Medical Center (NMC) or his designee to execute the Second Amendment to the Professional and Call Coverage Services Agreement (A-13055) with Muralidhara R. Raju, M.D. to provide neurosurgery services, adding $300,000 for a revised amount not to exceed $800,000 in the aggregate, but with no change to the contract term of March 1, 2016 to December 31, 2020; and
b. Authorize the Deputy Purchasing Agent for NMC to sign up to three (3) future amendments to this agreement where the total amendments do not significantly change the scope of work and do not cause an increase of more than ten percent 10% ($30,000) of the original contract amount.
SUMMARY/DISCUSSION:
Natividad Medical Center (NMC) received its designation as the Level II Trauma Center for Monterey County in January 2015. The American College of Surgeons requires neurosurgeons provide dedicated call coverage with a 30 minute response time for Level II Trauma Centers. In order to provide 24/7 care, it is necessary to develop and sustain a core team of quality neurosurgeons to provide daily call coverage in the Emergency Department and follow-up care to patients in the Intensive Care Unit and Specialty Clinic.
NMC has an agreement with Muralidhara R. Raju M.D., a board certified neurosurgeon, to provide neurosurgery services at NMC as part of the comprehensive trauma services required for the Level II Trauma Center. Dr. Raju is paid a daily rate for coverage and over the past twelve months he provided more call coverage than other providers on the call panel, therefore NMC wishes to amend the agreement to increase the not to exceed amount by $300,000 so that Dr. Raju can continue to provide services without interruption. 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 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 Medical Center’s Finance Committee on July 25, 2019 and Board of Trustees on August 2, 2019]
FINANCING:
The cost for this Amendment is $300,000. The total not to exceed amount of this Agreement is $800,000 for the period March 1, 2016 to December 31, 2020 (58 months). The actual cost is contingent upon the Dr. Raju’s level of participation, in the call panel which may fluctuate based on availability. NMC has agreements with multiple neurosurgical providers to ensure sufficient coverage of this service for which the total expenditure will not exceed $1,300,000 annually and is included in the Fiscal Year 2019/2020 Adopted Budget. There is no impact to the General Fund.
BOARD OF SUPERVISORS STRATEGIC INITIATIVES:
The services rendered in this agreement provide NMC with the additional support it needs in order 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, Management Analyst, 783.2506
Approved by: Gary Gray D.O., Chief Executive Officer, 783.2553
Attachments: Agreement; First-Second Amendment